Are you looking for the solution of Question number 10 of the Dissolution of Partnership Firm Chapter of TS Grewal Book 2021-22 Edition for the 2021-22 session?
Question number 10 of the Dissolution of Partnership Firm chapter is a practical one.
Solution of Question Number 10 of Dissolution of Partnership Firm Chapter of TS Grewal Book 2021-22 Class 12
Question – 10
Simar, Raja and Rita were partners in a firm sharing profits and losses in the ratio of 2:2:1. The firm was dissolved on 31st March, 2019. After the transfer of assets (other than cash) and external liabilities to the Realisation Account, the following transactions took place:
a) A debtor whose debt of ₹90,000 had been written off as bad, paid ₹88,000 in full settlement.
b) Creditors to whom ₹1,20,000 were due to be paid, accepted stock at ₹71,000 and the balance was paid to them by a cheque.
c) Raja had given a loan to the firm of ₹18,000. He was paid ₹17,000 in full settlement of his loan.
d) Investments were ₹53,000 out of which investments worth ₹43,000 were taken over by Simar at ₹52,000 and the balance of the investments were sold for ₹12,000.
e) Expenses on dissolution amounted to ₹19,000 and the same were paid by the firm.
f) Profit on dissolution amounted to ₹30,000.
Pass the necessary Journal entries for the above transactions in the books of the firm.