14 :- Aman and Harsh were partners in a firm, dissolved their firm. Pass necessary Journal entries for the following after assets (other than cash and bank) and outside liabilities had been transferred to Realisation account ;
(a) Furniture existed in the books at Rs 50,000. Aman took 50% of the furniture at 10% discount.
(b) Profit and loss account had credit balance of Rs 15,000 on the date of dissolution.
(c) Harsh’s loan of Rs 6,000 was settled by paying Rs 5,500.
(d) Firm paid realisation expenses of Rs 5,000 on behalf of Harsh, a partner.
(e) There was a cheque for Rs 1,200 under discount. The cheque was received from Sohan who became insolvent and a first and final dividend of 25% was received from his estate.
(f) Creditors of Rs 6,000, accepted stock of Rs 5,000 at a discount of 5% and the balance in cash.
Solution :-
