(e) There were 500 shares of Rs 40 each in Vision Ltd , acquired at a cost of Rs 22,000 - Accountancy - Dissolution of Partnership Firm

Question

(e) There were 500 shares of Rs 40 each in Vision Ltd , acquired at
a cost of Rs 22,000 and had been written off completely from the
books These shares are now valued at Rs 50 each and divided among
the partners in their profit sharing ratio

Neha Chopra · Accepted Answer

Dear Student

As the shares were not present in books of accounts, The whole
transaction would be called as Unrecorded assets taken over by the
Partners

The Journal entry for the same shall be:

Journal in the books

Date
Particulars

Debit
Credit

partners Capital A/c (500 x 50 x P S
R)
Dr
25,000

To Realisation A/c

25,000

(Being Unrecorded shares taken over by
partners in their PSR)

Regards

Journal in the books
Date	Particulars		Debit	Credit

	partners Capital A/c (500 x 50 x P.S.R)	Dr.	25,000
	To Realisation A/c			25,000
	(Being Unrecorded shares taken over by partners in their PSR)

(e) There were 500 shares of Rs 40 each in Vision Ltd., acquired at a cost of Rs 22,000 and had been written off completely from the books. These shares are now valued at Rs 50 each and divided among the partners in their profit sharing ratio.