8 mark question pass the necesaary journal entries on dissolution (i)x took over investments at a value of 190000(book value - Accountancy - Dissolution of Partnership Firm

Question

8 mark question pass the necesaary journal entries on dissolution
(i)x took over investments at a value of 190000(book value 200000)
(ii)cash realized was freehold property 900000,sundry debtors
90000,stock 140000(book value freehold 800000 debtora 100000 stock
150000) (iii)creditors where paid at a discount of 5+(book value
200000) (iv)expense of realisation came to 20000

Neha Chopra · Accepted Answer

Dear
Student

Journal

Date
Particulars

Debit Amount (Rs
)
Credit Amount (Rs
)

1
X's Capital
A/c
Dr
190,000

To Realisation
A/c

190,000

(Being X took over
investment at 1,90,000)

2
Cash
A/c
Dr
1,130,000

To Realisation
A/c

1,130,000

(Being Assets realised ,
freehold property 9,00,000,sundry debtors 90,000,stock
1,40,000(book value freehold 8,00,000 debtors 1,00,000 stock
1,50,000) )

3
Realisation A/c (2,00,000
less 5%)
Dr
190,000

To Cash
A/c

190,000

(Being creditors of book
value 2,00,000 paid at 5% discount)

4
Realisation
A/c
Dr
20,000

To
Cash

20,000

(Being realisation
expenses paid)

Regards

Journal
Date	Particulars		Debit Amount (Rs.)	Credit Amount (Rs.)

1	X's Capital A/c	Dr.	190,000
	To Realisation A/c			190,000
	(Being X took over investment at 1,90,000)

2	Cash A/c	Dr.	1,130,000
	To Realisation A/c			1,130,000
	(Being Assets realised , freehold property 9,00,000,sundry debtors 90,000,stock 1,40,000(book value freehold 8,00,000 debtors 1,00,000 stock 1,50,000) )

3	Realisation A/c (2,00,000 less 5%)	Dr.	190,000
	To Cash A/c			190,000
	(Being creditors of book value 2,00,000 paid at 5% discount)

4	Realisation A/c	Dr.	20,000
	To Cash			20,000
	(Being realisation expenses paid)