Question 34 Chapter 7 of +2 Part-1 – USHA Publication 12 Class Part – 1

Question 34 Chapter 7 of +2-Part-1

34. (Unrecorded Asset/Realisation A/c Partner’s capital A/c bank a/c) Deepali and Rajshree are partners in a firm sharing profits and in the ratio of 3: .2 They decided to dissolve their firm on 31st December 2019, when their balance sheet was under

Liabilities	Rs.	Assets	Rs.
Capital A/c :	50,400	Free hold property	16,000
Deepali	17,500	Investments	4,000
Rajshree	10,000	Sundry Debtors	2,000
Sundry creditors	2,000	Stock	3,000
Profit & loss A/c	1,500	Bank	2,000
		Cash	4,000
	31,000		31,000

The partners decide to dissolve the firm on the above date. Dipali took over the investment at an agreed value of Rs. 3,800. Other assets were realized as follows Freehold property Rs. 18,000 Sundry debtors Rs. 1,800; Stock RS. 2,800.
Creditors of the firm agreed to accept 5% less. Expenses of realisation of assets amounted to Rs. 400. There was a writer in the firm, which was bought out of firm’s money was not shown in the above balance sheet. The typewriter is now sold for Rs. 1,000.
Close the firms books of accounts by preparing a realisation account, partners capitals accounts and bank account

The solution of Question 34 Chapter 7 of +2 Part-1: –

Realisation A/c
Particulars		Amount	Particulars		Amount
To Debtors		2,000	By Debtors A/c		2,000
To Stock A/c		3,000	By Deepali’s capital A/c		3,800
To investments		4,000	Investment taken over
To freehold property		16,000	By bank A/c ( assets realised )
To bank A/c (liabilities & exp. paid )			Property		18,000
Creditors		1,900	Debtors		1,800
Expenses		400	Stock		2,800
To profit on realisation			By bank A/c (unrecorded assets )		1,000
Dipali 3/5		1,260
Rajshri 2/5		840
		29,400			29,400

Partners’ Capital Account
Particulars	Deepali	Rajshri	Particulars	Deepali	Rajshri
To Realisation A/c	3,800		By Balance b/d	17,500	10,000
			By Profit & loss A/c	900	600
			By realisation A/c- Profit	1,260	840
To Bank BF	15,860	11,440
	19,660	11,440		19,660	11,440

Bank A/c
Particulars		Amount	Particulars		Amount
To balance b/d		2,000	By Realisation A/c
To Cash A/c		4,000	Creditors		1,900
To Realisation A/c		22,600	Expense		400
To Realisation A/c		1,000	By capital A/c
			Dipali		15,860
			Rajshri		14,440
		29,600			29,600

Cash A/c
Particulars		Amount	Particulars		Amount
To Balance b/d		4,000	By Bank A/c		4,000

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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