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.
Solution :-
WORKING NOTES :-
Creditors payment
Discount = 40,000 x 15/100 x 2/12
= Rs 1,000
Final Payment = 40,000 – 1,000 = Rs 39,000
Bills Payable payment
Discount = 40,000 x 15/100 x 2/12
= Rs 1,000
Final Payment = 40,000 – 1,000 = Rs 39,000