The outgoing partners` capital account is credited with the ______________ according to the profit sharing ratio

proportionate value of the firm's past profits

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proportionate value of firm`s profits

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proportionate value of firm`s goodwill

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All of the above

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Solution

The correct option is C
proportionate value of firm`s goodwill

All of the above

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Similar questions

Q. Balance of A,B & C sharing profits & losses in proportionate to their capitals, stood as:
A = 2,00,000
B = 3,00,000
C = 2,00,000
A desired to retire from the firm, B and C share the future profits equally, Goodwill of the entire firm be valued at 1,40,000 and no Goodwill account being raised.

Q. Balances of A Band C sharing profits and losses in proportionate to their capitals, stood as follows: Capital Accounts: A Rs. 4,00,000; B Rs. 6,00,000 and C Rs. 4.00,000. A desired to retire from the firm. B and C decided to share the future profits equally, Goodwill of the entire firm be valued at Rs. 2,80,000 and no Goodwill account being raised. Journal entry for goodwill is _______.

A, B. and C are partners in a firm sharing profits in the ratio of 3:2:1 B retires. The goodwill of the firm is valued at Rs. 60,000 and the remaining partners A and C continue to share profits in the ratio of 3:1. By what amount will the capital account of B will be credited =

Q. Balances of A, B & C sharing profits & losses in proportionate to their capitals, stood as:
A =

R s .2, 00, 000

B =

R s .3, 00, 000

C =

R s .2, 00, 000

A desired to retire from the firm, B and C share the future profits equally, Goodwill of the entire firm be valued at

R s .1, 40, 000

and no Goodwill account being raised. What entry will be passed for payment of Goodwill?

Q. When capitals are made proportionate to profit-sharing ratio and excess capital is paid back to a partner is his Capital Account debited or credited?

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The outgoing partners` capital account is credited with the ______________ according to the profit sharing ratio

The correct option is C proportionate value of firm`s goodwill All of the above

The correct option is C
proportionate value of firm`s goodwill

All of the above