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✦ FREE LEARNING — CLASS 11 & 12 — CBSE · PSEB — ACCOUNTS · ECONOMICS · BST ✦
Pass Journal entries in the following cases: (a) Expenses of realisation ₹600, paid by Mohan, a partner. (b) Mohan, one of the partners of the firm, was asked to look into the dissolution of the firm, for which he was allowed a commission of ₹2,000. (c) Motor car of book value ₹50,000 taken over by Creditors of book value ₹40,000 in full settlement.
JOURNAL
| Date | Particulars | L.F. | Dr. (₹) | Cr. (₹) |
|---|---|---|---|---|
| (a) | ||||
| Realisation A/c Dr. | 600 | |||
| To Mohan’s Capital A/c | 600 | |||
| (Realisation expenses paid by Mohan) | ||||
| (b) | ||||
| Realisation A/c Dr. | 2,000 | |||
| To Mohan’s Capital A/c | 2,000 | |||
| (Commission allowed to Mohan for attending to the dissolution) | ||||
| (c) No entry — both the motor car and the Creditors have already been transferred to the Realisation Account, and nothing is recovered or paid in cash | ||||
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 "T.S. Grewal Class 12 Chapter 7 Q.5 - Dissolution of a Partnership Firm", focusing on key definitions, step-by-step concepts, applications, and revision guidelines relevant to Chapter 7 - Dissolution of a Partnership Firm.
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.
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