Question 22 Chapter 7 of +2 Part-1 – USHA Publication 12 Class Part – 1

Q 22. CH 7 Usha 2 Book 2018 Solution min - Question 22 Chapter 7 of +2 Part-1 - USHA Publication 12 Class Part - 1

Question 22 Chapter 7 of +2-Part-1

Free Accounting book Solution - Class 11 and Class 12

22. (Realisation A/e/Bank A/c/Capital A/e) X, Y and 2 were in partnership 7.2 1 and the balance sheet of the firm on 31 December 2018 was

Liabilities  Rs. Assets  Rs. 
Creditors  11,210 Stock  11,240
Plant deprecation reserve  20,000 Debtors  8,740
Capitals    Goodwill  10,000
X 12,410 Patents  38,080
8,650 Bank  1,210
Z 80,620 100 shares in X ltd. At cost 2,400
    1000 shares in ltd. At cost 10,000
    Plant  31,220
  1,32,890   1,32,890

It was agreed to dissolve the Partnership and the terms of dissolution were :

  1. X to take over the building at an agreed figure of Rs. 31,500.
  2. Y who was to carry on business, to take over the goodwill, stock and debtors at book values, the patents at Rs. 30,000 and plant at Rs. 5,000. He was also to pay off the creditors.
  3. Z to take over shares in X Ltd. at Rs. 15 each.
  4. The shares in Y Ltd. to be divided in Profit sharing ratio.
    Give the necessary Ledge accounts recording the dissolution in the books of the firm

The solution of Question 22 Chapter 7 of +2 Part-1: –

Revaluation A/c
Particulars
Amount Particulars Amount
To Building   20,000 By Sundry creditors   11,210
To Plants   31,220 By Plant depreciation reserve   20,000
To Goodwill   10,000 By X’s Capital A/c    
To Shares in X Ltd.   2,400 Building 31,500  
To Stock in Y Ltd.   10,000 Shares in Y Ltd. 7,000 38,500
To Stock   11,240 By Y’s Capital A/c    
To Debtors   8,740 Goodwill 10,000  
To Patents   38,080 Stock 11,240  
      Debtors 8,740  
      Patents 30,000  
      Plants 5,000  
      Shares in Y Ltd. 2,000 66,980
      By Z’s Capital A/c    
      Shares in X Ltd. 1,500  
      Shares in Y Ltd. 1,000 2,500
           
      By capital A/c – loss :    
      X 2,590  
      Y 740  
      Z 370 3,700
    1,42,890     1,42,890
Bank A/c
Particulars Amount Particulars Amount
To balance b/d   1,210 By Z’s capital A/c   77,750
To X’s capital A/c   28,680      
To Y’s capital A/c   47,860      
           
           
           
    77,750     77,750
X’s capital accounts
Particulars Amount Particulars Amount
To Realisation A/c     By Balance b/d   12,410
 -building 31,500   By Bank A/c   28,680
 -shares in Y ltd. 7,000 38,500      
To Realisation A/c loss   2,590      
           
           
    41,090     41,090
Y’s capital accounts
Particulars Amount Particulars Amount
To Realisation A/c     By Balance b/d   8,650
Goodwill 10,000   By Realisation A/c    
Stock 11,240   Creditors   11,210
Debtors 8,740   By Bank A/c   47,860
Patents 30,000        
Plants 5,000        
Shares in Y Ltd. 2,000 66,980      
To Realisation A/c loss   740      
           
    67,760     67,760
Z’s capital accounts
Particulars Amount Particulars Amount
To Realisation A/c     By Balance b/d   80,620
Shares in X Ltd. 1,500        
Shares in Y Ltd. 1,000 2,500      
To Realisation A/c loss   370      
To Bank A/c   77,750      
           
    80,620     80,620

Comment if you have any questions
Also, Check out the solved question of previous Chapters: –

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

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

Check out T.S. Grewal +2 Book 2020@ Official Website of Sultan Chand Publication

2 Book 1 min - Question 22 Chapter 7 of +2 Part-1 - USHA Publication 12 Class Part - 1
Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firm

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