Accountancy, asked by PragyaTbia, 1 year ago

When is Realisation Account opened? (Answer in one sentence)

Answers

Answered by Anonymous
9
AT THE TIME OF DISSOLUTION OF PARTNERSHIP FIRM REALISATION ACCOUNT WILL BE PREPARE
Answered by Anonymous
4
Answer :-

=) The main purpose to open Realisation Account is to ascertain the profit or loss due to the realisation of assets and liabilities .

 

Realisation account is set up at the season of disintegration of a firm to know the benefit/misfortune at the season of disintegration of the firm. Every one of the benefits with the exception of money or bank are exchanged to the charge side of acknowledgment account. In the event that any benefit has a comparing arrangement or hold that is exchanged to the credit side of acknowledgment account.

Correspondingly all outside liabilities like leasers and advances and so on are exchanged to the credit side of realisation account .

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