Loading Tutorstips...
✦ FREE LEARNING — CLASS 11 & 12 — CBSE · PSEB — ACCOUNTS · ECONOMICS · BST ✦
Advertisement
Advertisement
Advertisement
Advertisement
Question 13 Chapter 7 of +2-A
13. Lal and Pal were partners in a firm sharing profits in the ratio of 3 : 7. On 1st April, 2015 their firm was dissolved. After transferring assets other than cash and outsider's liabilities to Realization Account, you are given the following information:
a A creditor of 3,60,000 accepted machinery valued at 5,00,000 and paid to the firm 1,40,000.
b A second creditor for 50,000 accepted stock at 45,000 in full settlement of his claim.
c A third creditor amounting to 90,000 accepted 45,000 in cash and investments worth 43,000 in full settlement of his claim.
d Loss on dissolution was 15,000. Pass necessary Journal entries for the above transactions in the books of firm assuming that all payments were made by cheque.
| Date | Particulars |
L.F. | Debit | Credit | |
|---|---|---|---|---|---|
| a | Bank A/c | Dr. | 1,40,000 | ||
| To Realization A/c | 1,40,000 | ||||
| (Being Accreditor of Rs3,60,000accepted machinery valued at Rs5,00,000 and paid Rs1,40, 000 to the firm) | |||||
| b | No entry | . | |||
| c | Realization A/c | Dr. | 26,000 | ||
| To Cash A/c | 26,000 | ||||
| ( Being Athird creditor of Rs90,000 accepted Rs45,000 in cash and investments worth Rs43,000 in full settlement of his claim) | |||||
| d | Lal’s Capital A/c | Dr. | 4,500 | ||
| Pal’s Capital A/c | Dr. | 10,500 | |||
| To Realization A/c | 15,000 | ||||
| (Being Loss on dissolution transferred to partners 'capital accounts) | |||||
T.S. Grewal’s Double Entry Book Keeping +2 (Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms)
Check out T.S. Grewal +2 Book 2020@ Official Website of Sultan Chand Publication
Accounting & Commerce Educator
Sarbjit Singh holds a B.Com and M.Com degree and has over 12 years of teaching experience in double entry bookkeeping, financial accounting, and business studies.
This guide covers "Q.No.13 | Chapter 7 – Dissolution of a Partnership Firm | T.S. Grewal 12 Class Book Keeping Part - A - Vol. 1", focusing on key definitions, step-by-step concepts, applications, and revision guidelines relevant to T.S. Grewal 12 Class Book Keeping Part - A - Vol. 1.
It is primarily curated for Class 11 and Class 12 high school commerce, accounting, and economics students, as well as aspirants preparing for board exams or CA Foundation.
You can take our custom-built interactive practice quiz directly on this page to test your understanding of "Q.No.13 | Chapter 7 – Dissolution of a Partnership Firm | T.S. Grewal 12 Class Book Keeping Part - A - Vol. 1" instantly.
