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T. S. Grewal Solution for Class 12 Commerce Accountancy Chapter 6 - Dissolution of Partnership Firm

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T. S. Grewal Solution for Class 12 Commerce Accountancy Chapter 6 - Dissolution of Partnership Firm Page/Excercise 6.51

Solution Ex. 1

 

Journal

S. No. 

Particulars 

L.F. 

Debit

Rs. 

Credit

Rs. 

(a)

Realisation

Dr.

1,500

----------To Cash A/c

1,500

(Being realisation expenses paid)

(b)

Realisation A/c

Dr.

600

----------To Mohan's Capital A/c

600

(Being realisation expenses paid by Mohan)

(c)

Realisation A/c

Dr.

2,000

----------To Mohan Capital A/c

2,000

(Being commission allowed to Mohan on dissolution of the firm)

(d)

No Entry

(No journal entry to be passed as motor car and creditors have already been transferred to Realization A/c)

 

 

Solution Ex. 2

 

Journal

S. No. 

Particulars 

L.F. 

Debit

Rs. 

Credit

Rs. 

(a)

Rahul Capital A/c

Dr.

 

15,000

 
 

----------To Cash A/c

     

15,000

 

(Being realisation expense paid by rahul)

       

(b)

Realisation A/c

Dr.

 

25,000

 
 

----------To Ramesh Capital A/c

     

25,000

 

(Being remuneration allowed to ramesh on account of taking responsibility of dissolution)

       

(c)

Realisation A/c

Dr.

 

20,000

 
 

----------To Anuj's Capital A/c

     

20,000

 

(Being remuneration allowed to Anuj Capital A/c)

       
 

Anuj's Capital A/c

 Dr.

 

5,000

5,000

 

----------To Bank A/c

       
 

(Being realisation expenses paid by the firm on behalf of Anuj")

       

 

 

Solution Ex. 3

 

Journal

S. No. 

Particulars 

L.F. 

Debit

Rs. 

Credit 

Rs. 

(a)

Realisation A/c

Dr.

7,500

----------To Alok's Capital A/c

7,500

(Being realisation allowed to alok capital A/c)

Alok's Capital A/c

Dr.

10,000

----------To Bank A/c

10,000

(Being expenses paid by the firm on behalf of Alok)

OR

Realisation A/c

Dr.

7,500

Alok's Capital A/c

Dr.

2,500

----------ToBank A/c

10,000

(Being realisation expense paid)

(b)

Realisation A/c

Dr.

5,000

----------To Ravinder's Capital A/c

3,000

----------To Bank A/c

2,000

(Being realisation expense paid)

(c)

Realisation A/c

Dr.

10,000

----------To Amit Capital A/c

10,000

(Being realisation expense paid by Amit on behalf of the firm )

 

 

T. S. Grewal Solution for Class 12 Commerce Accountancy Chapter 6 - Dissolution of Partnership Firm Page/Excercise 6.52

Solution Ex. 4

Journal 

  

Particulars 

L.F. 

Debit

Rs. 

Credit 

Rs. 

(a)

Realisation A/c

Dr.

40,000 

----To Cash A/c 

40,000 

(Creditors worth Rs.85,000 accepted 40,000 as cash and investment worth Rs.43,000 in full settlement) 

(b) 

No Entry

(Creditors worth Rs.16,000 accepted Machinery worth Rs.18,000 in full settlement. No entry as both asset and liability are already transferred to the Realisation Account) 

(c) 

Cash A/c

Dr.

30,000 

----To Realisation A/c 

30,000 

(Creditors worth Rs.90,000 accepted Building worth Rs.1,20,000 and paid back Rs.30,000 as cash after settlement of claim to the firm) 

 

Solution Ex. 5

 

Journal

S. No. 

Particulars 

L.F. 

Debit

Rs. 

Credit 

Rs. 

(a)

Bank A/c

Dr.

50,000

----------To Realisation A/c

50,000

(Being assets realized for cash)

(b)

Realisation A/c

Dr.

10,000

----------ToBank A/c

10,000

(Being payment of liabilities made)

(c)

Realisation A/c

Dr.

2,500

----------To X's Capital A/c

2,500

(Being 5% commission allowed  to X's on sale of assets of Rs.50,000)

(d)

Realisation A/c

Dr.

10,000

 

----------To Amrit Capital A/c

 

 

 

10,000

 

(Being Amrit was allowed remuneration on account of relalisation )

 

 

 

 

 

Amrit Capital A/c

Dr.

 

15,000

 

 

----------To Bank A/c

 

 

 

15,000

 

(Being realisation expense paid on behalf Amrit )

 

 

 

 

 

Alternatively, only one single entry can also be passed instead of above two entries

 

 

 

 

 

Realisation A/c

Dr.

 

10,000

 

 

Amrit Capital A/c

Dr.

 

5,000

 

 

----------To Bank A/c

 

 

 

15,000

 

(Being realisation expenses paid)

 

 

 

 

(e)

Bad debts Recovered A/c

Dr.

 

3,600

 

 

To Realisation A/c

 

 

 

3,600

 

(Being bad debts recovered)

 

 

 

 

(f)

Cash A/c

Dr.

 

 

 

 

----------To Realisation A/c

 

 

15,000

 

 

(Being investments are realized at 150% )

 

 

 

15,000

 

 

Solution Ex. 6

 

Journal

Sr. No.

Particulars

 

L.F.

Debit

Rs. 

Credit

 

Rs. 

a.

Partners Loan A/c

Dr.

 

10,000

 

 

----------To Bank A/c

 

 

 

10,000

 

(Being loan refunded)

 

 

 

 

 

 

 

 

 

 

b.

X' s Capital A/c

Dr.

 

300

 

 

----------To Realisation A/c

 

 

 

300

 

(Being unrecorded assets took over)

 

 

 

 

 

 

 

 

 

 

c.

X' s Capital A/c

Dr.

 

10,000

 

 

Y's Capital A/c

Dr.

 

10,000

 

 

Z's Capital A/c

Dr.

 

10,000

 

 

----------To Profit and Loss A/c

 

 

 

30,000

 

(Being loss distribution)

 

 

 

 

 

 

 

 

 

 

d.

Bank A/c

Dr.

 

1,25,000

 

 

----------To Realisation A/c

 

 

 

1,25,000

 

(Being assets realized)

 

 

 

 

 

 

 

 

 

 

e.

Realisation A/c

Dr.

 

2,000

 

 

----------To Y's Capital A/c

 

 

 

2,000

 

(Being amount given for dissolution proceedings)

 

 

 

 

 

 

 

 

 

 

 

f.

Realisation A/c

Dr.

 

28,000

 

 

----------To Bank A/c

 

 

 

28,000

 

(Being creditors paid )

 

 

 

 

 

 

Solution Ex. 7

 

Journal

S. No. 

Particulars 

L.F. 

Debit

Rs. 

Credit 

Rs. 

a.

Realisation A/c

Dr.

12,000

----------To Bank A/c

12,000

(Being bank loan paid at the time of dissolution)

b.

Q's capital A/c

Dr.

16,000

----------To Realisation A/c

16,000

(Being stock taken over by Q)

c.

Realisation A/c

Dr.

4,000

----------To P's Capital A/c

4,000

(Being 5% commission allowed to X's on sale of assets of Rs.50,000)

d.

Bank A/c

Dr.

1,200

 

----------To Realisation A/c

 

 

 

1,200

 

(Being unrecorded assets realised )

 

 

 

 

e.

Realisation A/c

Dr.

 

2,000

 

 

----------To Q' Capital A/c

 

 

 

2,000

 

(Being bad debts recovered)

 

 

 

 

f.

Realisation A/c

Dr.

 

36,000

 

 

----------To P's Capital A/c

 

 

 

20,000

 

----------To Q's Capital A/c

 

 

 

16,000

 

(Being realisation Profit distributed)

 

 

 

 

 

 

Solution Ex. 8

 

Journal

S. No. 

Particulars 

L.F. 

Debit

Rs. 

Credit 

Rs. 

(a)

Profit and Loss A/c

Dr.

18,000

----------To X's capital A/c

9,000

----------To Y's capital A/c

6,000

----------To Z's capital A/c

3,000

(Being balance in P and L A/c divided among Partners in the ratio of 3:2:1)

(b)

X's capital A/c

Dr.

50,000

----------To Realisation A/c

50,000

(Being unrecorded asset taken over by X)

(c)

Realisation A/c

Dr.

4,000

----------To Bank A/c

4,000

(Being creditors were paid Rs.4,000 in full settlement of their claim of Rs.5,000)

 

Solution Ex. 9

Journal 

  

Particulars 

L.F. 

Debit

Rs. 

Credit 

Rs. 

(a)

Cash/Bank A/c

Dr.

3,000 

-----To Realisation A/c 

3,000 

(Old and unrecorded furniture sold) 

 

 

 

 

 

(b) 

Cash/Bank A/c

Dr.

600 

-----To Realisation A/c 

600 

(Bad debts previously written off now recovered) 

(c) 

Paras's Capital A/c

Dr.

30,000 

-----To Realisation A/c 

30,000 

(Unrecorded goodwill taken over by Paras) 

(d) 

Priya's Capital A/c

Dr.

300 

-----To Realisation A/c 

300 

(Unrecorded Typewriter taken over by Priya at 25% less price) 

(e) 

Paras's Capital A/c

Dr.

300 

Priya's Capital A/c 

Dr.

300 

-----To Realisation A/c 

600 

(100 unrecorded shares of Rs.10 each in the books taken @ Rs.6 each by Paras and Priya and divided between them in profit sharing ratio) 

 

T. S. Grewal Solution for Class 12 Commerce Accountancy Chapter 6 - Dissolution of Partnership Firm Page/Excercise 6.53

Solution Ex. 10

 

Journal

Sr. No.

Particulars

 

L.F

Debit

 Rs. 

Credit

Rs. 

(a)

Aman's Capital A/c

Dr.

 

22,500

 

 

Bank A/c

Dr.

 

32,500

 

 

----------To Realisation A/c

 

 

 

55,000

 

(Being assets realized)

 

 

 

 

 

 

 

 

 

 

(b)

Profit and Loss A/c

Dr.

 

15,000

 

 

----------To Aman's Capital A/c

 

 

 

7,500

 

----------To Harsh's Capital A/c

 

 

 

7,500

 

(Being profit distributed ) 

 

 

 

 

 

 

 

 

 

 

(c)

Harsh's Loan A/c

Dr.

 

6,000

 

 

Realisation A/c

Dr.

 

200

 

 

----------To Bank A/c

 

 

 

6,200

 

(Being loan Discharged)

 

 

 

 

 

 

 

 

 

 

(d)

Harsh's Capital A/c

Dr.

 

5,000

 

 

----------To Bank A/c

 

 

 

5,000

 

(Being expenses paid on behalf of partner)

 

 

 

 

 

 

 

 

 

 

(e)

Bank A/c

Dr.

 

300

 

 

----------To Realisation A/c

 

 

 

300

 

(Being amount received) 

 

 

 

 

 

 

 

 

 

 

 

Realization A/c

Dr.

 

1,200

1,200

 

----------To Bank A/c

 

 

 

 

 

(Being amount paid )

 

 

 

 

 

 

 

 

 

 

(f)

Realization A/c

Dr.

 

1,250

 

 

---------To Bank A/c

 

 

 

1,250

 

(Being creditors paid )

 

 

 

 

 

 

 

 

 

 

 

Solution Ex. 11

 

Journal

Sr. No. 

Particulars 

L.F. 

Debit

Rs. 

Credit

Rs. 

a.

Realisation A/c

Dr.

6,000

----------To Kunal's capital A/c

6,000

(Being Kunal agrees to pay off his wife's loan)

b.

Realisation A/c

Dr.

27,000

----------To Cash A/c

27,000

(Being creditors worth Rs.30,000 paid off at a discount o 10%)

c.

Rohit Loan A/c

Dr.

70,000

----------To Cash A/c

70,000

(Being loan paid by firm )

d.

Kunal Capital A/c

Dr.

3,000

 

----------To Realisation A/c

 

 

 

3,000

 

(Being asset taken over by Kunal)

 

 

 

 

e.

Rohit Capital A/c

Dr.

 

5,000

 

 

Kunal Capital A/c

Dr.

 

5,000

 

 

Sarthak Capital A/c

Dr.

 

5,000

 

 

----------To Profit and Loss A/c

 

 

 

15,000

 

(Being loss distributed equally)

 

 

 

 

f.

Realisation A/c

Dr.

 

15,000

 

 

----------To Sarthak's Capital A/c

 

 

 

15,000

 

(Being remuneration of Rs.15,000 paid for completion of dissolution process )

 

 

 

 

 

Solution Ex. 12

Journal 

Date 

Particulars 

L.F. 

Debit

Rs. 

Credit

Rs. 

 

Realisation A/c

Dr.

1,00,000 

 

-----To Sundry Assets A/c

1,00,000 

 

(All assets other than cash and bank transferred to Realisation Account)

 

 

Atul's Capital A/c

Dr.

40,000 

 

-----To Realisation A/c

40,000 

 

(Atul took over 50% of assets worth Rs 1,00,000 at 20% discount) [1,00,000 @ 50% @ 80%]

 

 

Bank A/c

Dr.

26,000 

 

-----To Realisation A/c

26,000 

 

(Assets worth Rs 20,000, i.e. 40% of assets of Rs 50,000 are sold at a profit of 30%) [50,000 × (40/100) × (130/100)]

 

 

No entry for obsolete assets and for the assets given to the creditors in the full settlement as these are already transferred to the Realisation Account)

 

 

T. S. Grewal Solution for Class 12 Commerce Accountancy Chapter 6 - Dissolution of Partnership Firm Page/Excercise 6.54

Solution Ex. 13

 

Journal

Sr. No.

Particular

 

L.F

Debit

 Rs. 

Credit

 Rs. 

a.

Bank A/c

Dr.

 

1,40,000

 

 

----------To Realisation A/c

 

 

 

1,40,000

 

(Being a creditor of Rs.3,60,000 accepted machinery valued at Rs.5,00,000 and paid Rs.1,40,000 to the firm)

 

 

 

 

b.

No entry**

 

 

 

 

c.

Realisation A/c

Dr.

 

45,000

 

 

----------To cash A/c

 

 

 

45,000

 

(Being a third creditor of Rs.90,000 accepted Rs.45,000 in cash and investments worth Rs.43,000 in full settlement of his claim)

 

 

 

 

d.

Lal's Capital A/c

Dr.

 

4,500

 

 

Pal's Capital A/c

Dr.

 

10,500

 

 

----------To Realisation A/c

 

 

 

15,000

 

(Being loss on dissolution transferred to partners' capital account )

 

 

 

 

 

Note: **No pass for asset taken over by the creditor

 

Solution Ex. 14

 

Journal

Date

Particular

 

L.F

Debit

 Rs. 

Credit

 Rs. 

(a)

P's Capital A/c

Dr.

 

90,000

 

 

Bank A/c

Dr.

 

1,25,000

 

 

----------To Realisation A/c

 

 

 

2,15,000

 

(Being stock realized)

 

 

 

 

(b)

Bank A/c

Dr.

 

2,05,000

 

 

--------To Realisation A/c

 

 

 

2,05,000

 

(Being debtors realized)

 

 

 

 

(c)

Bank A/c

Dr.

 

14,70,000

 

 

----------To Realisation A/c

 

 

 

14,70,000

 

(Being land and building realized)

 

 

 

 

(d)

No Entry

 

 

 

 

(e)

Bank A/c

Dr.

 

75,000

 

 

--------To Realisation A/c

 

 

 

75,000

 

(Being investment realised)

 

 

 

 

(f)

No Entry

 

 

 

 

(g)

Bank A/c

Dr.

 

10,000

 

 

--------To Realisation A/c

 

 

 

10,000

 

(Being unrecorded furniture realised)

 

 

 

 

(h)

Bank A/c

Dr.

 

12,000

 

 

--------To Realisation A/c

 

 

 

12,000

 

(Being bad debts recovered)

 

 

 

 

(i)

Realisation A/c

Dr.

 

50,000

 

 

--------To P's Capital A/c

 

 

 

50,000

 

(Being wife's loan paid by partner)

 

 

 

 

(j)

Realization A/c 

Dr.

 

82,000

 

 

--------To Bank A/c (Rs.10,000 + Rs.72,000)

 

 

 

82,000

 

(Being creditors paid)

 

 

 

 

 

Solution Ex. 15

 

Journal

Date

Particular

 

L.F

Debit

 Rs. 

Credit

Rs. 

(a)

Bank A/c

Dr.

 

1,250

 

 

----------To Realisation A/c

 

 

 

1,250

 

(Being amount received)

 

 

 

 

 

 

 

 

 

 

 

Realisation A/c

Dr.

 

2,500

 

 

---------To Bank A/c

 

 

 

2,500

 

(Being liability discharged)

 

 

 

 

 

 

 

 

 

 

(b)

Realisation A/c

Dr.

 

50,000

 

 

---------To A's Capital A/c

 

 

 

50,000

 

(Being liability paid by a partner)