A and B are partners sharing profits and losses in the proportion of 7:5. They agree to admit C, their Manager, into partnership who is to get 1/6th share in the business. C brings in Rs.10,000 for his capital and Rs.3,600 for the 1/6th share of goodwill which he acquire 1/24th from A and 1/8th from B. Profits for the first year of the new partnership amount toRs.24,000. Make necessary Journal entire connection with C’s admission and apportion the profits between the partners.
