The Balance Sheet of A, B and C who were sharing profits in the ratio of 3 : 3 : 4 as at 31st March, 2019 was as follows :
Balance Sheet of A, B and C as at 31st March, 2019
| Liabilities | Amount ₹ | Assets | Amount ₹ |
|---|---|---|---|
| General Reserve | 40,000 | Cash | 4,000 |
| Bills Payable | 15,000 | Stock | 43,000 |
| Loan from Bank | 30,000 | Investments | 70,000 |
| Capitals : | Land and Buildings | 1,58,000 | |
| A 60,000 | |||
| B 90,000 | |||
| C 40,000 | 1,90,000 | ||
| 2,75,000 | 2,75,000 |
A died on 1st October, 2019. The partnership deed provided for the following on the death of a partner:
(i) Goodwill of the firm be valued at two years’ purchase of average profits for the last three years.
(ii) The profit for the year ending 31st March, 2019 was ₹50,000.
(iii) Interest on capital was to be provided @ 6% p.a.
(iv) The average profits of the last three years were ₹35,000.
Prepare A’s Capital Account to be rendered to his executors.
Marks-4, CBSE:2019-20/Compartment/Q-17