Please help out...

I want to transpose rows present in sheet1 to columns in sheet2, also i need to maintain relationship between these two sheets i.e, if i delete any row from sheet1 it should automatically delete that respective column in sheet2...

Here's one way. There's a different formula on each ROW on sheet 2, so check out each row INDEXes a different column on sheet1.

Set up the various adjusted formulas going down column B, then copy to the right as far as needed.