Leena madan and naresh were partners in a firm

So. Leena Madan and Naresh were partners in a hirm sharing profits and losses in the ratio of 2:2:1

On 31st March, 2015, their Balance Sheet was as follows:BALANCE SHEET as at 31st March, 2015LiabilitiesAssetsTrade CreditorsBank OverdraftLong term DebtsEmployees Provident FundCapitals: LeenaMadanNaresh1,60,00044.0004,00,00076,00012,50.0008,00.00010,50.000Land and BuildingMachineryFurnitureInvestmentsClosing StockSundry DebtorsBankDeferred Advertisement Expenditure10,00,0005,00,000700,0002,00,0008,00,0004,00,00080,0001,00,00037,80,00031,00,00037,80,000On 31st March, 2015. Madan retired from the firm and the remaining partners decided to carry on thebusiness. It was decided to revalue assets and liabilities as under:(1) Land and Building be appreciated by 2,40,000 and Machinery be depreciated by 10%.(11) 50% of Investments were taken over by the retiring partner at book value.(i) An old customer Mohit whose account was written off as bad debt had promised to pay 7,000 insettlement of his full debt of 10,000.(iv) Provision for Doubtful Debts was to be made at 5% on debtors.(v) Closing Stock will be valued at market price which is 1,00,000 less than the book value.(vi) Goodwill of the firm be valued at 5,60,000 and Madan's share of goodwill be adjusted in theaccounts of Leena and Naresh. Leena and Naresh decided to share future profits and losses in theratio of 3:2.(vii) The total capital of the new firm will be 32,00,000 which will be in the proportion of the profit-sharing ratio of Leena and Naresh.(viii) Amount due to Madan was settled by accepting a Bill of Exchange in his favour payable after 4 months.Prepare Revaluation Account, Partners' Capital Accounts and Balance Sheet of the firm after Madan'sretirement(AI 2016)​