[CBSE] Q 8 DK Goel Dissolution of a Partnership Firm Solutions Class 12 (2024-25)

Solution of Question number 8 of Dissolution of a Partnership Firm chapter 5 of DK Goel Class 12 CBSE (2024-25)

Q. 8 (A) Pritam and Naresh decided to dissolve their firm on September 30, 2023, when their Balance Sheet stood as follows:

Liabilities	₹	Assets	₹
Capital Accounts: Pritam Naresh	40,000 20,000	Cash at Bank	400
Loan Accounts: Naresh Mrs. Pritam	14,000 10,000	Stock-in-Trade	21,500
Sundry Creditors	36,000	Bills Receivable	8,800
Outstanding Rent	500	Sundry Debtors 45,000 Less: Provision for Bad Debts 1,500	43,500
		Furniture	3,000
		Plant & Machinery	23,000
		Goodwill	20,000
		Prepaid Insurance	300
	1,20,500		1,20,500

The assets were realised as follows: Stock ₹ 20,000; Bills Receivable ₹ 3,800; Furniture ₹ 5,100; Plant & Machinery ₹ 35,000; Sundry Debtors at 10% less than book value.

Sundry Creditors allowed a discount of 5%. Pritam agreed to pay his wife’s loan. Naresh agreed to pay outstanding rent. Expenses on dissolution came to ₹ 800.

Pritam and Naresh shared profits and losses in the ratio of their capitals. Accounts were finally settled.

Prepare Journal Realisation Account, Capital Accounts and Bank Account.

[Ans. Loss on Realisation ₹ 14,700; Cash paid to Pritam ₹ 40,200 and Naresh ₹ 15,600; Total of Bank A/c ₹ 1,04,800.]

Solution:-

Hint: Goodwill and Prepaid Insurance will be debited to Realisation A/c and no further entry will be made in respect of these items.

Q. 8 (B). Mrs. Rita Chowdhary and Miss Shobha are partners in a firm, ‘Fancy Garments Exports’ sharing profits and losses equally. On 1st April, 2024, the Balance Sheet of the firm was as follows:

Liabilities	₹	Assets	₹
Sundry Creditors	75,000	Bank	36,000
Bills Payable	30,000	Stock	75,000
Mr. Chowdhary’s Loan	15,000	Book Debts 66,000 Less: Provision for Doubtful Debts 6,000	60,000
Reserve Fund	24,000	Plant & Machinery	45,000
Mrs. Rita Chowdhary’s Capital	90,000	Land & Buildings	48,000
Miss Shobha’s Capital	30,000
	2,64,000		2,64,000

The firm was dissolved on the date given above. The following transactions took place:

(i) Mrs. Rita Chowdhary undertook to pay Mr. Chowdhary’s Loan and took over 50 percent of stock at a discount of 20 percent.

(ii) Book-debts realised ₹ 54,000; balance of the stock was sold off at a profit of 30 percent on cost.

(iii) Sundry Creditors were paid out at a discount of 10 percent. Bills Payable were paid in full.

(iv) Plant and Machinery realised ₹ 75,000 and Land and Buildings ₹ 1,20,000.

(v) Mrs. Rita Chowdhary took over the goodwill of the firm at a valuation of ₹ 30,000.

(vi) Realisation expenses were ₹ 5,250.

Show the Realisation Account, Bank Account and Partner’s Capital Accounts in the books of the firm.

[Ans. Gain on Realisation ₹ 1,32,000; Final Payments :- Rita ₹ 1,23,000 and Shobha ₹ 1,08,000, Total of Bank A/c ₹ 3,33,750.]

Solution:-

Here are the solutions of Dissolution of a Partnership Firm chapter 5 of DK Goel Class 12 CBSE (2024-25)

S.N	Questions
1	Question – 1
2	Question – 2
3	Question – 3
4	Question – 4
5	Question – 5
6	Question – 6
7	Question – 7
8	Question – 8
9	Question – 9
10	Question – 10

S.N	Questions
11	Question – 11
12	Question – 12
13	Question – 13
14	Question – 14
15	Question – 15
16	Question – 16
17	Question – 17
18	Question – 18
19	Question – 19
20	Question – 20

S.N	Questions
21	Question – 21
22	Question – 22
23	Question – 23
24	Question – 24
25	Question – 25
26	Question – 26
27	Question – 27
28	Question – 28
29	Question – 29
30	Question – 30

S.N	Questions
31	Question – 31
32	Question – 32
33	Question – 33
34	Question – 34
35	Question – 35
36	Question – 36
37	Question – 37
38	Question – 38
39	Question – 39
40	Question – 40

S.N	Questions
41	Question – 41
42	Question – 42
43	Question – 43
44	Question – 44
45	Question – 45
46	Question – 46
47	Question – 47
48	Question – 48
49	Question – 49
50	Question – 50

S.N	Questions
51	Question – 51
52	Question – 52
53	Question – 53
54	Question – 54
55	Question – 55
56	Question – 56
57	Question – 57
58	Question – 58
59	Question – 59
60	Question – 60