31 :- A, B and C were equal partners. On 31st March,2025, their Balance sheet stood as :
The firm was dissolved on the above date on the following terms:
(a) For the purpose of dissolution, Investments were valued at Rs 18,000 and A took over the investments at this value.
(b) Fixed assets realised Rs 29,700 whereas Stock and Debtors realised Rs 80,000.
(c) Expenses of realisation paid were Rs 1,300.
(d) Creditors allowed discount of Rs 800.
(e) A post-dated cheque for Rs 1,500 under discount was dishonoured as the acceptor had become insolvent and was unable to pay and hence the firm paid the bank.
Prepare realisation account, Partner’s capital accounts and cash account showing how the accounts would finally be settled among the partners.
32 :- Michael, Jackson and John are in partnership sharing profits and losses in the proportions of 1/2, 1/3 and 1/6 respectively. On 31st March, 2025, they decide to dissolve the firm. On this date the balance sheet stood as
During the realisation process, a liability under a suit for damages is settled at Rs 20,000 as against Rs 5,000 provided for in the books of the firm.
Land and building were sold for Rs 40,000 and the stock and sundry debtors realised Rs 30,000 and Rs 42,000 respectively. The expenses of realisation amounted to Rs 1,200.
There was a car in the firm, which was written off from the books. It was taken by Michael for Rs 20,000. He also agreed to pay outstanding salary of Rs 20,000 not provided in books.
Prepare Realisation Account, Partner’s Capital Accounts and Bank account in the books of the firm.
33 :- Prashant and Rajesh are partners in a firm sharing profits and losses in the ratio of 3:2. On 31st March,2025, their Balance Sheet was :
On that date, the partners decide to dissolve the firm. Prashant took investments at an agreed value of Rs 35,000. Other assets were realised as follows :
Sundry Debtors : Full amount. The firm could realise stock at 15% less and building was sold at Rs 1,00,000. Compensation to employees paid by the firm was Rs 10,000. This liability was not provided for in the above Balance Sheet.
You are required to close the books of the firm by preparing Realisation Account, Partner’s capital accounts and Bank account.
34 :- Yogesh and Naresh were partners sharing profits equally. They dissolved the firm on 1st April, 2025. Naresh was assigned the responsibility to realise the assets and pay the liabilities at a remuneration of Rs 10,000 including expenses. Balance Sheet of the firm as on that date was as follows :
The firm was dissolved on following terms :
(a) Yogesh was to pay his wife’s loan.
(b) Debtors realised Rs 60,060.
(c) Naresh was to take investments at an agreed value of Rs 26,000.
(d) Creditors were payable after two months but were paid immediately at a discount of 15% p.a.
(e) A debtor previously written off as Bad Debts paid Rs 16,670.
(f) An unrecorded asset realised Rs 10,000.
Prepare Realisation Account, Partner’s capital accounts, Partner’s loan account and Cash/Bank Account.