A & B are partners having capital of Rs.$29,000$ & Rs.$15,000$. Reserve shown in balance sheet was Rs.$10,000$. C is admitted as a new partner introducing a capital of Rs.$21,000$. New parofit sharing ratio is $5:3:2$. Profit on revaluation of assets & liabilities were Rs.$5,000$. C is to bring premium for goodwill in cash. Goodwill amount being calculated on the basis of C's share in the profits and capital contributed by him. Premium for goodwill to be brought in new partner C should be ________

C's capital contribution is Rs. 21,000 for his 2/10 share in the firm, meaning the total capital of the firm based on C's share is Rs. 21,000 multiplied by 10/2, which equals Rs. 1,05,000. The combined capital of the old partners before revaluation equals the sum of Rs. 29,000, Rs. 15,000, and Rs. 10,000, which is Rs. 54,000. Adding C's capital of Rs. 21,000 gives an actual total capital of Rs. 75,000, and adding the Rs. 5,000 revaluation profit brings this to Rs. 80,000. The inferred total goodwill is Rs. 1,05,000 minus Rs. 80,000, which is Rs. 25,000, but accounting for the capital base immediately after C's admission implies a total firm capital of Rs. 1,05,000; since the required hidden goodwill to match this is Rs. 25,000, the premium for goodwill to be brought by C is Rs. 5,000.

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