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1. Assets are revalued and liabilities are reassessed at the time of admission of a partner.

 
 

2. Accumulated profits and losses are transferred to revaluation account at the time of admission of a partner .

 
 

3. Contingent liability becoming a certain liability is debited to revaluation account at the time of admission of a partner.

 
 

4. The purpose of revaluation account is to ascertain the gain/loss arising on account of revaluation of asset and  reassessment of liabilities.

 
 

5. A new partner is a liable for the past losses of the firm.

 
 

6. On revaluation of assets and liabilities capital account of old partners do not change.

 
 

7. Old partners are not allowed to withdraw the amount of the goodwill brought in by the new partner.

 
 

8. Unless agreed otherwise the new profit share ratio of old partners will be the same as their old profit sharing ration.

 
 

9. It is a necessary that partners should have capitals in their profit sharing ratio.

 
 

10. A new partner bring goodwill into them the firm to acquires right to share the future profit of the firm.

 
 

11. AB and Co. has 50 partners. It want to admit a new partner. Can it do so ?

 
 
 
 

12. The ratio in which old partners agree to surrender their shares in profit in favor of new partner is called ;

 
 
 
 

13. If the adjustment in the values of assets and liabilities at the time of the admission of a partner shows gain it is credited to the capital account of ;

 
 
 
 

14. X and Y are partners sharing profits i the ratio of 3 : 2. Z is admitted for 1/4 share in profits which he acquires equally from X and Y. The new ratio will be.

 
 
 
 

15. New partner can be admitted into partnership ;

 
 
 
 

16. On the admission of a new partner.

 
 
 
 

17. When a new partner bring his shares of goodwill in cash, the amount is debited to.

 
 
 
 

18. When a new partner does not bring his share of goodwill in cash the amount is debited to ;

 
 
 
 

19. If at the time of admission balance appears in the profit and loss account in the books it is transferred to;

 
 
 
 

20. If at the time of admission there is an unrecorded liability it is ;

 
 
 
 

21. In the absence of an agreement to who will distribute to new partners share of profit it is implied that the old partners will contribute ;

 
 
 
 

22. In case of admission of a partner the entry for unrecorded investment is ;

 
 
 
 

23. When revaluation account is opened ant the balance sheet is prepared after new partnership agreement the assets and liabilities are recorded at ;

 
 
 
 

24. Goodwill of a firm of A and B is valued at Rs 30,000. Goodwill is appearing in the books at Rs 12,000. C is admitted for 1/4th share amount that he will bring for goodwill is ;

 
 
 
 

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