Questions Bank 3) The following is the Balance Sheet of Amutha and Rama sharing profits 3.2. cson 31.3.2015. Balance Sheel Liabilities Amount Assets Amount Sundry creditors 80,000 Bank 10,000 Bills Payable 20,000 Sundry debtors 30.000 Capital Account: Stock 20,000 Amutha 40,000 Machinery 40.000 Roma 30.000 70,000 Land & Buildings 70,000 170.000 170.000 On 1.4.2015 They decided to admit Laina into the partnership for 1/5 of the future profits on the following terms (al Latha shall bring in a capital of R.O 30,000 and R.O 4,000 as her share of goodwill. (b) Goodwill of the fimm being valued at R.O 20.000 (c) Land and buildings be appreciated by 10% Idy Stock is depreciated by R.O 3.000 and provision for outstanding ability is created at R.O 2000 Required: Prepare the Revaluation account. Capital accounts, Bank occount and the Bolonce Sheet of the reconstituted partnership (Ans.: Revaluation Profit: R.O 2.000; B/s: R.02.24,000) 40