(When Premium for Goodwill is paid privately). X and Y are partners in a firm sharing
Channel: Doubtnut
Date: 2020-03-29

(When Premium for Goodwill is paid privately). X and Y are partners in a firm sharing profits and losses in the ratio 3:2. They admit Z as partner for 1/4th share. Z paid RS 80,000 directly to X and Y as his share of goodwill. Pass the necessary Journal entry in the books of firm.