A and B are carrying on business in partnership and sharing profits and losses in the ratio of 3 : 2. Their Balance Sheet as at 31st March, 2019 stood as:

They admit C into partnership on 1st April, 2019 and give him 1/8th share in future profits on the following terms:

1. Goodwill of the firm be valued at twice the average of the last three years' profits which amounted to 21,000; 24,000 and 25,560.
2. C is to bring cash for the amount of his share of goodwill. (c) C is to bring cash 15,000 as his capital.

Pass Journal entries recording these transactions, draw out the Balance Sheet of the new firm and determine new profit-sharing ratio.