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Model Test Papers M.343

2. Calculation of Sacrifice/Gain of each Partner:
Old Ratio = 5 : 3 : 2
New Ratio = 2 : 3 : 5
Mala’s Sacrifice/Gain = 5/10 – 2/10 = 3/10 (Sacrifice)
Neela’s Sacrifice/Gain = 3/10 – 3/10 = 0
Kala’s Sacrifice/Gain = 2/10 – 5/10 = (3/10) (Gain)
\ Kala’s Gain = ` 28,000 × 3/10 = ` 8,400
Mala’s Sacrifice = ` 28,000 × 3/10 = ` 8,400.

12. PROFIT AND LOSS APPROPRIATION ACCOUNT
Dr. for the year ended 31st March, 2018 Cr.
Particulars ` Particulars `
To Profit transferred to Capital A/cs: By Profit and Loss A/c (Net Profit) 2,70,000
E 1,51,200
Less: Deficiency of G’s Share 1,800 1,49,400
F 64,800
Less: Deficiency of G’s Share 4,200 60,600
G 54,000
Add: Transferred from E 1,800
Transferred from F 4,200 60,000
2,70,000 2,70,000

Working Note:
Let the Total Share of Profit be 1
1 4
G’s Share = ; Remaining Share = , which will be shared by E and F in their old
5 5
ratio, i.e., 7 : 3.
7 4 28
E’s New Share = ¥ =
10 5 50
3 4 12
F’s New Share = ¥ =
10 5 50
1 10
G’s Share = or
5 50
28 12 10
Thus, New Profit-sharing Ratio of E, F and G = : : = 28 : 12 : 10 or 14 : 6 : 5.
50 50 50
5
G’s Actual Share of Profit = ` 2,70,000 × = ` 54,000
25
G’s Guaranteed Profit = ` 60,000
Deficiency in G’s Share of Profit = ` 6,000, which will be contributed by E and F in their agreed ratio, i.e., 3 : 7.

3
Thus, E will contribute = of ` 6,000 = ` 1,800;
10
7
F will contribute = of ` 6,000 = ` 4,200.
10