P BAAC2202 - Corporate Accounting 1 Practical Activity - Chapter: 2 The following is the statement of financial position of PQR sharing profits and losses in the ratio of 3:2:1 as on 31st Dec 2010 Liabilities RO Assets RO Creditors 25,800 Cash 8,000 Outstanding Expenses 200 Debtor and Stock 42,000 Bills Payable 6,000 Furniture 15,000 Capitals: Computer 10,000 28,000 Building 30,000 Q 20,000 78,000 Patents 5,000 R 30,000 110,000 110,000 They admit S into the partnership on the following terms: - 1. The value of computer reduced by 10% 2. A part of value of Patents for RO 1000 became useless and it has to be reduced. 3. Buildings to be revalued at RO 55,000 4. Furniture was depreciated by 10% 5. S shall bring RO 25,000 as capital for 4 share of future profits a) Calculate New Profit Sharing Ratio and Sacrificing Ratio b) Prepare Revaluation Account, Partner's Capital Account and redraft the Statement of financial position after the admission