Question

Pass Journal entries for the following:

1. Realisation expenses amounted to ₹ 10,000 were paid by the firm on behalf of Alok, a partner, with whom it was agreed at ₹ 7,500.
2. Realisation expenses amounted to ₹ 5,000. It was agreed that the firm will pay ₹ 2,000 and balance by Ravinder, a partner.
3. Dissolution expenses amounted to ₹ 10,000 were paid by Amit, a partner, on behalf of the firm.

Answer 1

Journal Entry
Date	Particulars	L.F.	Debits Amount (₹)	Credit Amount (₹)
a	Realisation A/c   ...Dr.		7,500
	To Alok’s Capital A/c			7,500
	(Remuneration allowed to Alok)
a	Alok’s capital A/c   ...Dr.		10,000
	To Bank A/c			10,000
	(Expenses paid by the firm on behalf of Alok)
b	Realisation A/c   ...Dr.		5,000
	To Ravinder’s Capital A/c			3,000
	To Bank A/c			2,000
	(Realisation expenses paid)
c	Realisation A/c   ...Dr.		10,000
	To Amit’s Capital A/c			10,000
	(Realisation expenses paid by Amit on behalf of the firm)

Answer 2

Journal Entry
Date	Particulars	L.F.	Debits Amount (₹)	Credit Amount (₹)
a	Realisation A/c   ...Dr.		7,500
	Alok’s Capital A/c   ...Dr.		2,500
	To Bank A/c			10,000
	(Realisation expenses paid)
b	Realisation A/c   ...Dr.		5,000
	To Ravinder’s Capital A/c			3,000
	To Bank A/c			2,000
	(Realisation expenses paid)
c	Realisation A/c   ...Dr.		10,000
	To Amit’s Capital A/c			10,000
	(Realisation expenses paid by Amit on behalf of the firm)