Sameer,Yasmin and Saloni were partners in a firm sharing profits and losses in the ratio of 4:3:3. On 31.3.2016, their Balance Sheet was as follows:

On the above date, Sameer retired and it was agreed that:
(i) Debtors of 4,000 will be written off as bad debts and a provision of 5% on debtors for bad and doubtful debts will be maintained.
(ii) An unrecorded creditor of 20,000 will be recorded.
(iii) Patents will be completely written off and 5% depreciation will be charged on stock, machinery and building.
(iv) Yasmin and Saloni will share future profits in the ratio of 3:2
(v)  Goodwill of the firm on Sameer's retirement was valued at ₹5,40,000.
Pass necessary journal entries for the above transactions in the books of the firm on Sameer’s retirement.

Answer

Working Note:
WN1: Calculation of Sameer's Share of Goodwill
Gaining Ratio = New Ratio - Old Ratio
 

Gaining Ratio 
Yasmin : Saloni = 3 : 1

Sameer's Share of Goodwill

Yasmin Share
   
Saloni Share
    
WN2: Calculation of Excess/Deficit Provision for Doubtful Debts
Required Provision (@5%)

Existing Provision (after Writing bad-debts) = 6,000
Excess Provision (to be written back) = 1,700(6,000 - 4,300)

WN3: Calculation of Sameer's Loan Balance
  Amount due to Sameer's = Opening Capital  + Credits - Debits
                                       = 3,00,000 + (24,000 + 2,16,000) - (20,000 - 43,320)
                                       = 3,00,000 + 2,40,000 - 63,320
Amount due to Sameer's  = ₹ 4,76,680