Admission of a Partner
Accountancy · Class 12 · Accounting for Partnership Firms · 1.º Período

Admission of a Partner

Accounting treatment when a new partner is admitted, including the calculation of the new profit-sharing ratio and sacrificing ratio. It also covers the valuation and treatment of goodwill and the revaluation of assets and liabilities.

CBSE Learning OutcomesCBSE Class 12 Accountancy, Part A, Unit 1: Accounting for Partnership Firms - Admission of a partner: effect of admission of a partner on change in the profit sharing ratioCBSE Class 12 Accountancy, Part A, Unit 1: Accounting for Partnership Firms - Treatment of goodwill (as per AS 26), revaluation of assets and reassessment of liabilities

About This Topic

Accounting treatment when a new partner is admitted, including the calculation of the new profit-sharing ratio and sacrificing ratio. It also covers the valuation and treatment of goodwill and the revaluation of assets and liabilities.

Key Questions

  1. How do we calculate the sacrificing ratio?
  2. What is the accounting treatment for goodwill upon admission?
  3. How are accumulated profits and losses distributed?

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