B, P and T were partners in a firm sharing profits and losses in the ratio of 5:3:2. On 31.03.2022, their Balance Sheet was as follows:
Balance Sheet of B, P and T as at 31st March, 2022
| Liabilities | Amount ₹ |
Assets | Amount ₹ |
|---|---|---|---|
| Creditors | 1,40,000 | Bank | 1,44,000 |
| General Reserve | 2,00,000 | Stock | 66,000 |
| Workmen’s Compensation Fund | 90,000 |
Debtors 1,50,000 | |
| Capitals: | Less: Provision for Doubtful debts 20,000 |
1,30,000 |
|
| B 4,00,000 | Furniture | 70,000 | |
| P 2,00,000 | Machinery | 2,20,000 | |
| T 1,00,000 | 7,00,000 | Land and Building | 5,00,000 |
| 11,30,000 | 11,30,000 |
On the above date, B retired from the firm on the following terms:
- Goodwill of the firm will be valued at ₹3,60,000 and B’s share will be adjusted without opening goodwill account.
- Furniture will be reduced to ₹60,000.
- A claim of ₹1,00,000 was admitted for workmen’s compensation.
- B was paid ₹20,000 through a cheque and the balance was transferred to his loan account.
Prepare Revaluation Account and Partners’ Capital Accounts.
Marks-6, CBSE:2022-23/Compartment/Q-26*