Education Blogs Suresh, Ramesh and Tushar were partners of a firm sharing profits in...
Suresh, Ramesh and Tushar were partners of a firm sharing profits in
the ratio of 6:5:4. Ramesh retired and his capital after making
adjustments on account of reserves, revaluation of assets and
reassessment of liabilities stood at ₹ 2,50,400. Suresh and Tushar
agreed to pay him ₹ 2,90,000 in full settlement of his claim.
Pass necessary journal entry for the treatment of goodwill. Show
Ramesh’s share of Goodwill= ₹2,90,000 – ₹2,50,400 = ₹39,600