# Question 47 Chapter 7 of +2-A – T.S. Grewal 12 Class Part – A Vol. 1

Question No.47 Chapter No.7 - T.S. Grewal +2 Book 2019-Solution

Question 47 Chapter 7 of +2-A

47. On 1st April, 2017 , A , B and C commenced business in partnership sharing profits and losses in proportion of 1/2,1/3 and 1/6 respectively . They paid into their Bank A/c as their capitals 22,000; 10,000 by A , 7,000 by B and 5,000 by C . During the year , they drew 5,000; being 1,900 by A, 1,700 by B and 1,400 by C . On 31st March, 2018, they dissolved their partnership , A taking up Stock at an agreed valuation of 5,000, B taking up Furniture at 2,000 and C taking up Debtors at 3,000. After paying up their Creditors, there remained a balance of 1,000 at Bank. Prepare necessary accounts showing the distribution of the cash at the Bank and of the further cash brought in by any partner or partners as the case required.

## The solution of Question 47 Chapter  7 of +2-A: –

 Realization Account Particular 5 Amount Particular Amount Sundry Asset 17,000 A’s Capital Stock 5,000 B’s Capital Furniture 2,000 C’s Capital Debtors 3,000 Bank A/c Assets realized 1,000 Loss transferred to: A’s Capital A/c 3,000 B’s Capital A/c 2,000 C’s Capital A/c 1,000 6,000 18,000 18,000

 Partners’ Capital Account Part. A B C Part. A B C To Realization A/c 5,000 2,000 3,00 By Balance B/d 8,100 5,300 5,600 To Realization Loss A/c 3,000 2,000 1,000 To Cash A/c 100 1,300 – By Cash A/c 400 8,100 5,300 4,000 8,100 5,300 4,000

 Cash Account Particular Amount Particular Amount Realization A/c 1,000 C’s Capital A/c 400 A’s Capital A/c 100 B’s Capital A/c 1,300 1,400 1,400

Working Note:

 Memorandum Balance Sheet Particular Amount Particular Amount Sundry Assets (Balancing figure) 17,000 Capital A/cs A’s Capital A/c 10,000 – 1,900 8,100 B’s Capital A/c 7,000 – 1,700 5,300 C’s Capital A/c 5000 – 1400 3,600 17,000 17,000

T.S. Grewal’s Double Entry Book Keeping +2 (Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms)

• Chapter No. 1 – Financial Statement of Not-For-Profit Organisations
• Chapter No. 2 – Accounting for Partnership Firms – Fundamentals
• Chapter No. 3 – Goodwill: Nature and Valuation
• Chapter No. 4 – Change in Profit-Sharing Ratio Among the Existing Partners
• Chapter No. 5 – Admission of a Partner
• Chapter No. 6 – Retirement/Death of a Partner
• Chapter No. 7 – Dissolution of a Partnership Firm

### T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

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