Question

Pass the Journal entry when an unrecorded liability of ₹ 15,000 is settled at ₹ 10,000 and paid by X, a partner on the dissolution of a firm?

Answer 1

Journal Entry
Date	Particulars	L.F.	Debit (₹)	Credit (₹)
	Realisation A/c   ...Dr.		10,000	-
	To X’s Capital A/c		-	10,000
	(Being unrecorded liability settled and paid by partner X)