Anant, Gulab and Khushbu were partners in a firm sharing profits in the ratio of 5 : 3 : 2.
Channel: Doubtnut
Date: 26/04/2020

Anant, Gulab and Khushbu were partners in a firm sharing profits in the ratio of 5 : 3 : 2. From 1.4.2014, they decided to share the profits equally, For the purpose the goodwill of the firm was valued at Rs. 2,40,000.  Pass necessary journal entry for the treatment of goodwill on change in the profit sharing ratio of Anant, Gulab and Khushbu.