Debee, Sedee and Nedee are in partnership, who were sharing profits in the ratio of 3:2:1. On 31.03.05, Nedee left the firm as per agreement. The following details are available.
Balance Sheet:
1. Depreciate fixed assets @10%.
2. Only General Reserve is to be credited to the extent of Nedee’s share through capital adjustment of the partners.
3. Receivables are sold to a debt collection agency at Rs. 5,400/-
Nedee’s accounts are to be settled soon either by paying o or bringing in necessary cash as the case may be. Prepare the necessary a/c to show the amount due to Nedee.