ILLUSTRATION 57. The following was the Balance Sheet of Om & Co. in which X, Y and Z were partners sharing profits and losses in the ratio of 1: 2:2 as at 31.3.2017: BALANCE SHEET as at 31.3.2017 Liabilities Sundry Creditors Bank Loan General Reserve Capital Accounts: X Y Z 40,000 80,000 80,000 20,000 Goodwill 50,000 Building 30,000 Computers 31.3.2017 31.3.2016 31.3.2015 Assets Stock Sundry Debtors Cash at Bank 2,00,000 Investments 3,00,000 Mr. Z died on 31st December, 2017. His account has to be settled under the following terms: Goodwill is to be calculated at the rate of two years' purchase on the basis of average of last three years profits and losses. The profits and losses for the three years were as detailed below: Year ending on 30,000 1,20,000 80,000 20,000 20,000 20,000 10,000 3,00,000 Profit (loss) 30,000 20,000 (10,000) Profit for the period from 1.4.2017 to 31.12.2017 shall be ascertained proportionately on the basis of average profits and losses of the preceding th