Question 18 Chapter 7 of +2 Part-1 – USHA Publication 12 Class Part – 1

Question 18 Chapter 7 of +2-Part-1

18. (Realisation A/c/Partner’s Capital A/e) X. Y and Z are three partners. Their sharing ratio was 3:2: 1. Their balance sheet on 30th September 2015 was as under

Liabilities	Rs.	Assets	Rs.
Creditors	5,000	Stock	5,000
Z’s loan A/c	3,000	Debtors	10,000
X’s current A/c	1,000	Goodwill	15,000
Z’s current A/c	500	Furniture	4,000
Capitals		Cash	1,000
X	15,000	Y’s current A/c	5,000
Y	5,500
Z	10,000
	40,000		40,000

Firm was dissolved on above date :

1. Goodwill was purchased by Z for Rs. 12,000.
2. X purchased stock for Rs. 6,000
3. Realisation from debtors was 10%less.
4. Furniture was auctioned for Rs. 3,000.
5. Dissolution expenses were Rs. 500.
6. Partners will pay cash, if necessary.
7. Creditors were paid in full.
   Prepare realisation account and partners capital accounts.

The solution of Question 18 Chapter 7 of +2 Part-1: –

Realisation A/c
Particulars		Amount	Particulars		Amount
To Stock		5,000	By creditors		5,000
To Debtors		10,000	By Bank A/c
To goodwill A/c		15,000	Debtors	9,000
To Furniture A/c		4,000	Furniture	3,000	12,000
To Cash			By X’s capital A/c- Stock taken over		6,000
Creditors		5,000	By Z’s capital A/c – Goodwill taken over		12,000
Expenses		500
			By capital A/c – loss :
			X	2,250
			Y	1,500
			Z	750	4,500
		39,500			39,500

Partners’ Capital Account
Particulars	X	Y	Z	Particulars	X	Y	Z
To Current A/c		5,000		By Balance b/d	15,000	5,500	10,000
To Realisation A/c- Goodwill /stock	6,000		12,000	By current A/c	1,000		500
To Realisation A/c -loss	2,250	1,500	750	By cash A/c		1,000
To Cash A/c	7,750	–	–
	16,000	6,500	12,750		16,000	6,500	12,750

Cash A/c
Particulars		Amount	Particulars		Amount
To balance b/d		1,000	By Realisation A/c		2,950
To Realisation A/c Debtors		9,000	Creditors		5,000
Furniture		3,000	Expenses		500
To Y’s capital A/c		1,000	By Z’s loan A/c		3,000
To Z’s capital A/c		2,250	By X’s capital A/c		7,750
		16,250			16,250

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Also, Check out the solved question of previous Chapters: –

Usha Publication – Accountancy PSEB (Class 12) – Volume I – Solution

• Chapter No. 1 – Accounting Not for Profit Organisations
• Chapter No. 2 – Partnership Accounts – I (Introduction)
• Chapter No. 3 – Partnership Accounts – II (Goodwill: Nature and Valuation)
• Chapter No. 4 – Partnership Accounts – III (Reconstitution of Partnership)
• Chapter No. 5 – Partnership Accounts – IV (Admission of A Partner)
• Chapter No. 6 – Partnership Accounts – V (Retirement and Death of A Partner)
• Chapter No. 7 – Partnership Accounts – VI (Dissolution of Partnership Firm)
• Chapter No. 8 – Company Accounts (Share Capital)
• Chapter No. 9 – Company Accounts (Issue of Debentures)
• Chapter No. 10 – Company Accounts (Redemption of Debentures)

Usha Publication – Accountancy PSEB (Class 12) – Volume II – Solution

• Chapter No. 1 – Financial Statements of a Company
• Chapter No. 2 – Financial Statement Analysis
• Chapter No. 3 –  Tools of Financial Statement Analysis- Comparative and Common Size
• Chapter No. 4 – Ratio Analysis
• Chapter No. 5 – Cash Flow Statement

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