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  • अध्याय 3: साझेदारी फर्म का पुनर्गठन: साझेदार की सेवानिवृत्ति/मृत्यु
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CBSE • कक्षा XII • Accountancy • अध्याय 3
अनुमानित समय: 45 Mins
प्रगति: अध्ययनरत

साझेदारी फर्म का पुनर्गठन: साझेदार की सेवानिवृत्ति/मृत्यु

In CBSE Class 12 Accountancy, "Reconstitution of a Partnership Firm: Retirement/Death of a Partner" provides an exhaustive master resource on partner exit accounting. This comprehensive chapter covers the calculation of the Gaining Ratio ($GR = \text{New} - \text{Old}$) and New Profit Sharing Ratio, valuation and accounting treatment of Goodwill on retirement/death, Revaluation Account adjustments, distribution of reserves, determination of the retiring partner's final dues, payment in cash vs transfer to Retiring Partner's Loan Account (with interest/installments under Section 37), and computation of a deceased partner's profit share up to the date of death (time-basis vs turnover-basis) transferred to the Deceased Partner's Executor's Account aligned with the 2026–27 CBSE curriculum.

अध्याय CBT ऑनलाइन टेस्ट दें सभी अध्याय देखें
प्रस्तावना अध्याय अवधारणाएँ आर्थिक सूत्र एवं सिद्धांत अध्याय सारांश स्व-मूल्यांकन अभ्यास टेस्ट दें

When a Senior Partner Retires or Passes Away Mid-Year, How Does the Firm Pay Out Crores Without Going Bankrupt?

Imagine a 3-partner medical clinic where one senior surgeon decides to retire on September 30th, halfway through the financial year. The retiring doctor is entitled to their capital, their accumulated share of reserves, their revaluation gains, and their share of the firm's ₹60 lakh goodwill. Furthermore, since they worked for six months of the current year before retiring, they demand their share of profits earned up to September 30th. Paying out ₹40 lakhs in immediate cash could bankrupt the clinic. How do accountants settle a retiring partner's dues using a formal Loan Account with 6% interest, and how do they calculate interim profits for a deceased partner using sales turnover ratios when the books haven't been closed yet? This chapter masters retirement and death accounting.

यह अध्याय क्यों महत्वपूर्ण है

Retirement and death are inevitable realities in long-running commercial partnerships. On board exams, retirement questions test comprehensive 6-mark problems involving gaining ratios, goodwill adjustments between continuing partners, revaluation accounts, and partner loan settlements. For death of a partner, calculating interim profits using the turnover basis and preparing the Executor's Account is an essential technical requirement.

अध्ययन से पूर्व (आवश्यक ज्ञान)

  • Partnership fundamental concepts and capital accounts from Chapter 1.
  • Goodwill valuation methods (Average Profit, Super Profit) from Chapter 2.
  • Revaluation Account mechanics.

इस अध्याय के लक्ष्य

  • Calculate New Profit Sharing Ratio (NPSR) and Gaining Ratio ($GR = \text{New Ratio} - \text{Old Ratio}$) upon retirement or death.
  • Execute Accounting for Goodwill on retirement: Gaining Partners' Capital A/c Dr. (in Gaining Ratio) to Retiring Partner's Capital A/c.
  • Prepare the Revaluation Account and transfer gains/losses to ALL partners in old PSR.
  • Settle retiring partner's dues: immediate cash payment vs transfer to Retiring Partner's Loan Account.
  • Calculate deceased partner's share of interim profit up to date of death using Time Basis and Turnover (Sales) Basis.
  • Construct the Deceased Partner's Capital Account and transfer final dues to the Deceased Partner's Executor's Account.

अध्याय रूपरेखा एवं प्रगति

1 1. Gaining Ratio & Goodwill Treatme...
2 2. Settlement of Retiring Partner's...
3 3. Death of a Partner: Interim Prof...

सम्पूर्ण सैद्धांतिक एवं वैचारिक अध्ययन

1. Gaining Ratio & Goodwill Treatment on Retirement

Understand

Upon retirement or death, the continuing partners acquire the departing partner's share of future profits. The ratio in which they gain is the Gaining Ratio (GR):

$$\text{Gaining Ratio} = \text{New Share} - \text{Old Share}$$
Accounting for Goodwill (AS-26):

The retiring or deceased partner is entitled to their share of the firm's goodwill. This goodwill is compensated strictly by the continuing (gaining) partners in their Gaining Ratio:

Continuing (Gaining) Partners' Capital/Current A/c .... Dr. [In GAINING RATIO]
    To Retiring / Deceased Partner's Capital A/c .......... [His Share of Goodwill]
(Being retiring partner's share of goodwill credited and debited to gaining partners in gaining ratio).

2. Settlement of Retiring Partner's Account & Loan Account

Settlement Mechanics

The total balance due to a retiring partner comprises: Opening Capital + Current Account balance + Share of Reserve + Share of Revaluation Profit + Share of Goodwill - Drawings - Share of Losses.

  • Full Payment in Cash: `Retiring Partner's Capital A/c Dr.` → `To Cash / Bank A/c`.
  • Transferred to Loan Account: `Retiring Partner's Capital A/c Dr.` → `To Retiring Partner's Loan A/c`.
  • Section 37 of Indian Partnership Act: If dues are not settled immediately and no agreement exists, the outgoing partner is entitled at their option to:
    • Interest @ 6% p.a. on the unpaid loan balance until paid; OR
    • That share of subsequent profits earned attributable to the use of their capital in the business!

3. Death of a Partner: Interim Profit Calculation & Executor's Account

Understand & Deep Dive

Unlike retirement (which usually occurs at the end of an accounting period), death can occur on any random day during the financial year (e.g., on June 12th, 73 days into the year). The deceased partner's legal heirs are entitled to their share of profit earned from the start of the year up to the date of death.

Two Methods to Calculate Interim Profit:
  1. Time Basis: Assumes profits accrue evenly throughout the year: $$\text{Interim Profit} = \text{Last Year's Profit (or Avg)} \times \left( \frac{\text{Days/Months up to Death}}{365 \text{ or } 12} \right) \times \text{Deceased Partner's Share}$$
  2. Turnover (Sales) Basis: More accurate; links profit to actual sales achieved: $$\text{Profit Ratio} = \frac{\text{Last Year's Net Profit}}{\text{Last Year's Sales}} \times 100$$ $$\text{Interim Profit} = \text{Sales up to Date of Death} \times \text{Profit Ratio} \times \text{Deceased Partner's Share}$$
Journal Entry for Interim Profit:
  • If PSR among continuing partners does NOT change: 
    Profit & Loss Suspense A/c .......................... Dr.
    To Deceased Partner's Capital A/c ...................... [His share of interim profit]
  • If PSR among continuing partners DOES change: Adjusted through Gaining Partners' Capital accounts!

प्रमुख आर्थिक सूत्र, व्यावसायिक सिद्धांत एवं मानक

Gaining Ratio Formula
$$\text{Gaining Share} = \text{New Share} - \text{Old Share}$$
Used to debit continuing partners for retiring partner's goodwill.
Deceased Interim Profit (Time Basis)
$$P_{\text{share}} = P_{\text{base}} \times \frac{t}{365} \times \text{Share}$$
Where t is number of days from start of year to date of death.

Retirement and Death Accounting Flowchart

Retirement & Death of a Partner Accounting Framework Retirement Settlement Architecture Goodwill Compensation (Gaining Ratio) Gaining Partners' Capital A/c Dr. (in GR) To Retiring Partner's Capital A/c Settlement of Final Dues • Paid in Cash → To Bank A/c • Transferred to Retiring Partner's Loan A/c Section 37: 6% p.a. interest on unpaid balance Death of Partner: Interim Profits & Executor Interim Profit to Date of Death 1. Time Basis: (Profit × Days/365 × Share) 2. Turnover Basis: (Sales to date × % × Share) Entry: P&L Suspense A/c Dr. To Deceased Capital Executor's Account Transfer Final capital balance transferred to legal heir: Deceased Capital A/c Dr. To Deceased Partner's Executor A/c

अध्याय का सार संक्षेप एवं 10 मुख्य निष्कर्ष

मुख्य बिंदु 1
Upon retirement or death, the Gaining Ratio = New Share - Old Share.
मुख्य बिंदु 2
Goodwill of the firm is compensated strictly by gaining partners in their gaining ratio to the outgoing partner.
मुख्य बिंदु 3
Revaluation Account gains or losses upon retirement belong to ALL partners in their old profit-sharing ratio.
मुख्य बिंदु 4
The retiring partner's dues are paid in cash or transferred to a Loan Account bearing 6% interest under Section 37.
मुख्य बिंदु 5
Upon a partner's death mid-year, their share of interim profit up to death is calculated using time basis or turnover basis.
मुख्य बिंदु 6
If continuing partners maintain their old relative ratio, interim profit is debited to Profit & Loss Suspense Account.
मुख्य बिंदु 7
If continuing partners change their ratio, interim profit is adjusted through gaining partners' capital accounts.
मुख्य बिंदु 8
The deceased partner's final balance is transferred to the Deceased Partner's Executor's Account.
मुख्य बिंदु 9
Accumulated reserves and P&L balances are credited to all partners in their old profit-sharing ratio.
मुख्य बिंदु 10
Section 37 gives an outgoing partner the choice of 6% p.a. interest or a share of subsequent profits earned using their unpaid capital.

स्व-मूल्यांकन अभ्यास (Check Your Understanding)

मूल वैचारिक स्पष्टता की जांच के लिए नैदानिक प्रश्न। पहले स्वयं हल करें, फिर उत्तर देखें।

1
A, B, and C are partners sharing profits in the ratio 5:3:2. B retires from the firm, and his share is taken over by A and C in the ratio 2:1. Calculate: (a) Gaining Ratio, (b) New Profit Sharing Ratio.
उत्तर एवं व्याख्या देखें
उत्तर:

Calculation:
• B's share $= 3/10$.
• Gaining Ratio of A and C is given directly as 2 : 1.
• Share gained by A $= 3/10 \times 2/3 = 6/30 = 2/10$.
• Share gained by C $= 3/10 \times 1/3 = 3/30 = 1/10$.
• A's New Share $= \text{Old Share} + \text{Gain} = 5/10 + 2/10 = 7/10$.
• C's New Share $= \text{Old Share} + \text{Gain} = 2/10 + 1/10 = 3/10$.
• New Profit Sharing Ratio (NPSR) = 7 : 3.


A gains 2/10, C gains 1/10; Add gains to old shares: A = 5/10 + 2/10 = 7/10, C = 2/10 + 1/10 = 3/10 → 7:3.
2
Pass the Journal entry for treatment of Goodwill upon B's retirement from the firm of A, B, and C (PSR 3:2:1). Goodwill of the firm is valued at ₹1,80,000. A and C decide to share future profits in the ratio 3:2.
उत्तर एवं व्याख्या देखें
उत्तर:

Calculation:
• Firm's Goodwill $= ₹1,80,000$. B's share of goodwill $= 2/6 \times ₹1,80,000 = ₹60,000$.
• Gaining Ratio ($GR = \text{New} - \text{Old}$):
- A's gain $= 3/5 - 3/6 = \frac{18 - 15}{30} = 3/30 = 1/10$.
- C's gain $= 2/5 - 1/6 = \frac{12 - 5}{30} = 7/30$.
- Gaining Ratio of A and C $= 3/30 : 7/30 =$ 3 : 7.
• Compensation by A $= ₹60,000 \times 3/10 = ₹18,000$.
• Compensation by C $= ₹60,000 \times 7/10 = ₹42,000$.

Journal Entry:
A's Capital A/c .................................... Dr. 18,000
C's Capital A/c .................................... Dr. 42,000
    To B's Capital A/c .......................................... 60,000
(Being B's share of goodwill credited and debited to gaining partners A and C in gaining ratio 3:7).


B's goodwill = 60,000; Gaining ratio = 3:7; A debited 18,000, C debited 42,000.
3
P, Q, and R were partners sharing profits in the ratio 2:2:1. R died on 30th June 2025 (3 months into the financial year). Under the partnership deed, R's share of interim profit up to death is to be calculated on the basis of average profits of the last 3 years, which were ₹80,000, ₹90,000, and ₹1,00,000. Calculate R's share of profit and pass the journal entry.
उत्तर एवं व्याख्या देखें
उत्तर: Calculation:
• Average Profit $= \frac{80,000 + 90,000 + 1,00,000}{3} = \frac{2,70,000}{3} = ₹90,000$.
• Proportionate Profit for 3 months $= ₹90,000 \times \frac{3}{12} = ₹22,500$.
• R's share of profit (1/5th) $= ₹22,500 \times \frac{1}{5} = ₹4,500$.

Journal Entry:
Profit & Loss Suspense A/c .......................... Dr. 4,500
    To R's Capital A/c .......................................... 4,500
(Being deceased partner R's share of interim profit credited to his capital account).
Avg profit = 90k; 3 months = 22.5k; R's 1/5 share = 4,500; Debit P&L Suspense A/c.
4
Explain Section 37 of the Indian Partnership Act 1932 regarding the settlement of an outgoing partner's accounts.
उत्तर एवं व्याख्या देखें
उत्तर:

Section 37 states that if a partner retires or dies and the remaining partners continue the business using the outgoing partner's capital without settling accounts immediately, in the absence of any contract, the outgoing partner or their legal executor has the legal option to claim:
1. Interest @ 6% per annum on the unsettled balance from retirement/death until full payment; OR
2. Such share of subsequent profits earned by the firm as may be attributable to the use of their capital in the business.
The outgoing partner naturally selects whichever amount is higher.


Option of 6% p.a. interest or share of subsequent profits earned using their unpaid capital.
5
A deceased partner's total capital balance after all adjustments is ₹3,50,000. How is this amount transferred to his legal representative?
उत्तर एवं व्याख्या देखें
उत्तर: Because the deceased partner is no longer legally alive, the capital balance cannot remain in his personal name. It is transferred to his appointed legal representative or executor via the journal entry:
Deceased Partner's Capital A/c .................... Dr. 3,50,000
    To Deceased Partner's Executor's A/c ....................... 3,50,000
(Being final balance due to deceased partner transferred to his executor's account).

Debit Deceased Partner's Capital A/c; Credit Deceased Partner's Executor's A/c.
6
A, B, and C share profits in the ratio 3:2:1. C dies on 31st July. Sales from 1st April to 31st July were ₹2,00,000. Sales for the preceding year were ₹10,00,000 and profit was ₹1,50,000. Calculate C's share of profit using the Turnover Basis.
उत्तर एवं व्याख्या देखें
उत्तर: Calculation:
• Previous Year Profit Percentage on Sales $= \left( \frac{1,50,000}{10,00,000} \right) \times 100 = 15\%$.
• Estimated Profit up to 31st July $= 15\% \text{ of } ₹2,00,000 = ₹30,000$.
• C's Share of Profit (1/6th) $= ₹30,000 \times \frac{1}{6} = ₹5,000$.
Profit rate = 15%; Profit on 200,000 sales = 30,000; C's 1/6th share = 5,000.
7
How does the treatment of Revaluation Profit on retirement differ from that on admission of a partner?
उत्तर एवं व्याख्या देखें
उत्तर:

• On Admission: Revaluation profit/loss belongs exclusively to the OLD partners and is credited only to their accounts in their old profit-sharing ratio (the new partner gets nothing).
• On Retirement: Revaluation profit/loss belongs to ALL partners including the retiring partner because the retiring partner contributed to that asset growth up to the date of retirement, and it is credited to ALL partners in their old profit-sharing ratio.


Admission: Old partners only; Retirement: ALL partners including the retiring partner.
8
If a retiring partner is paid ₹20,000 in cash immediately and the remaining ₹80,000 is to be paid in installments, pass the settlement journal entry.
उत्तर एवं व्याख्या देखें
उत्तर: 
Retiring Partner's Capital A/c .................... Dr. 1,00,000
    To Cash / Bank A/c ......................................... 20,000
    To Retiring Partner's Loan A/c ............................. 80,000
(Being part payment made in cash and remaining balance transferred to loan account).

Debit Retiring Partner 100k; Credit Bank 20k; Credit Retiring Partner's Loan A/c 80k.
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कक्षा 12 Accountancy के सभी अध्याय

अध्याय 1: साझेदारी फर्मों का लेखांकन: मूलभूत अवधारणाएं अध्याय 2: साझेदारी फर्म का पुनर्गठन: साझेदार का प्रवेश अध्याय 3: साझेदारी फर्म का पुनर्गठन: साझेदार की सेवानिवृत्ति/मृत्यु अध्याय 4: साझेदारी फर्म का विघटन अध्याय 5: अंश पूँजी के लिए लेखांकन अध्याय 6: ऋणपत्रों का निर्गमन एवं मोचन अध्याय 7: कंपनी के वित्तीय विवरण अध्याय 8: वित्तीय विवरणों का विश्लेषण अध्याय 9: लेखांकन अनुपात अध्याय 10: रोकड़ प्रवाह विवरण (Cash Flow Statement)

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