Distinguish between 'Dissolution of partnership' and 'Dissolution of partnership firm' on the basis of settlement of assets and liabilities.
|Basis||Dissolution of partnership||Dissolution of firm|
|Settlements of Assets
|Assets and Liabilities are revalued and the gain or loss is distributed to all partners in old ratio.||Assets of the firm are realized and liabilities are settled. Balance amount,
if any is distributed among all partners.
Concept: Dissolution of Partnership Firm
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