Creditors of Rs. 30,000 took over stock Rs. 10,000 at 10% discount. Pass journal entries in Dissolution.

Dear Student



As here creditors have taken over stock, means liability is settled off against the asset, both of which are already transferred to realisation, therefore, no journal entry would be required as profit or loss on this transaction would automatically be accounted in the final profit or loss on realization.

Therefore no journal entry would be required.

Regards

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no entry will be passed
 
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