$X, Y$ and $Z$ are partners in a firm sharing profits in $3 : 3 : 2$ ratio. They decide to share profits equally w.e.f. April $1, 2018$ On that date, the Profit and Loss Account shows the credit balance of Rs. $60, 000$ They decide that Profit and Loss Account will remain as it is. You are required to fill up the following Journal entry:
Date Particulars L.F. Dr. (Rs.) Cr. (Rs.)
2018
April
1 ? ....Dr
To ?
To ?
(Being adjustment made for credit balance of Profit and Loss Account due to change in profit-sharing ratio) ?
?
?

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Solution

Date Particulars L.F. Dr. (Rs.) Cr. (Rs.)
2018
April
1 Z's Capital A/c ....Dr. 5000
To X's Capital A/c 5000
To Y's Capital A/c 5000
(Being adjustment made for credit balance of Profit and Loss Account due to change in profit-sharing ratio) ?
?
?
workings:
X and Y: 1/3 - 3/8 = (1/24) sacrificing ratio
Z: 1/3 - 2/8 = 2/24 gaining ratio

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Date	Particulars	L.F.	Dr. (Rs.)	Cr. (Rs.)
2018 April 1	? ....Dr To ? To ? (Being adjustment made for credit balance of Profit and Loss Account due to change in profit-sharing ratio)		?	? ?