Maharashtra State BoardHSC Commerce 12th Board Exam
Advertisement Remove all ads

Mr. Aaba and Mr. Baba Are Equal Partners Whose Balance Sheet as on 31 St March, 2012 Was as Under - Book Keeping and Accountancy

Advertisement Remove all ads
Advertisement Remove all ads
Advertisement Remove all ads

Mr. Aaba and Mr. Baba are equal partners whose Balance Sheet as on 31 st March, 2012 was as under:

                                                               Balance Sheet as on

                                                                  31st March, 2012

Liabilities Amount(Rs.) Assets Amount(Rs.)
Sundry Creditors 16000 Cash in hand 500

Capital A/c

              Aaba

              Baba

 

2000

2000

Stock 4500
    Debtors 4000
    Plant and machinery 5000
    Furniture 2000
    Land and Building 4000
  20000   20000

 

Due to weak financial position of the partners the firm is dissolved.

Aaba and Baba are not able to contribute anything from their private estate, hence they are declared insolvent.

The assets are realised as follows :-

Stock Rs. 3,000, Plant and Machinery Rs. 3,000, Furniture Rs. 1,000, Land and Building Rs. 2,000 and Debtors Rs. 1,000 only.

Realisation expenses amounted to Rs. 500.

You are required to prepare necessary Ledger Accounts to close the books of the firm.

Advertisement Remove all ads

Solution

                                                                       In the Books of Aaba and Baba

                                                                                    Realisation A/c

Particulars Amount Amount Particulars Amount Amount

To Sundry Assets

Stock

Debtors

Plant and Machinery

Furniture

Land and Building

 

4500

4000

5000

2000

4000

 

 

 

 

 

19500

By Cash A/c

Stock

Debtors

Plant and Machinery

Furniture

Land and Building

 

3000

1000

3000

1000

2000

 

 

 

 

 

10000

To Cash A/c

(Realisation Expenses)

 

 

500

By Loss on Realisation

Aaba

Baba

 

5000

5000

 

 

10000

           
           
    20000     20000

 

                                                                              Partner's Capital A/c

Particulars Aaba Baba Particulars Aaba Baba

To Realisation A/c

(Loss)

5000 5000 By Balance b/d 2000 2000
           
     

By Capital Deficiency A/c

(Balancing fig.)

3000

 

3000

 

  5000 5000   5000 5000

 

                                                                                    Cash A/c

Particulars Amount Amount Particulars Amount Amount
To Balance b/d   500 By Realisation Expenses A/c   500
To Realisation A/c   10000      
      By Sundry Creditors   10000
           
    10500     10500

 

                                                     Sundry Creditors A/c

Particulars Amount Particulars Amount
To Cash A/c 10000 By Balance b/d 16000
       
To Capital Deficiency A/c 6000    
       
  16000   16000

 

                                                                              Capital Deficiency A/c

Particulars Amount Amount Particulars Amount Amount
To Aaba's Capital A/c   3000 By Sundry Creditors   6000
To Baba's Capital A/c   3000      
           
           
    6000     6000
Concept: Dissolution of Partnership Firm
  Is there an error in this question or solution?

APPEARS IN

Advertisement Remove all ads
Share
Notifications

View all notifications


      Forgot password?
View in app×