Question

A, B and C were partners in a firm and shared profits in the ratio of 3:2:1. On 31st March,
2018 their Balance Sheet was as follows:
Liabities
र
Asses
65.000
Destors
Creditors
Bits Payable
Employees Provident Fund
Investments Fluctuation Reserve
Commission Received in Advance
Capital Ales
12000
6.000
22.500
52300
36.000
15.000
91200
Plani
ftoft and Lassic
80,000
50.000
30.000
C
271.000
271.000
On this date the firm was dissolved. A was appointed to realise the assets. A was to receive
5% commission on the sale of assets and was to bear all expenses of realisation
A realised the assets as follows:
Debtors 30,000; Stock * 26,000; Investments 75% of book value, Plant 2,750. Expenses of
realisation amounted to 4,100.
Commission received in advance was returned to the customers after deducting 3.000
The firm had to pay 7,200 for outstanding salary not provided for earlier. Compensation paid
to employees amounted to 9,800. This liability was not provided for in the above Balance
Sheet. 3 25,000 had to be paid towards Employees' Provident Fund
Prepare Realisation Account, Partners' Capital Accounts and Cash Account​

Answer 1

hey mate

Particulars Amount Particulars Amount

To Provision for Doubtful Debts 1700 By Prepaid advertisement Expenses 1200

To A's Capital

(revenue expense) 2100 By B's Capital

(personal expenses) 2000

By Loss transferred to:

- A's Capital a/c

- B's Capital a/c

- C's Capital a/c

300

200

100

I hope it helps u

have a nice day