X, Y and Z are partners in the ratio of 2:2:1. On retirement of Y Goodwill was valued at Rs. 1,20,000.…

Retiring partner Y's share in the firm's goodwill of Rs. 1,20,000 is $1{,}20{,}000 \times \frac{2}{5} = \text{Rs. } 48{,}000$. In the absence of a specified new ratio, continuing partners X and Z gain in their existing relative ratio of $2:1$, so X contributes $48{,}000 \times \frac{2}{3} = \text{Rs. } 32{,}000$ and Z contributes $48{,}000 \times \frac{1}{3} = \text{Rs. } 16{,}000$.