On dissolution of firm, what entry is passed for payment of an unrecorded liability? Post category:Accountancy Reading time:1 mins read SOLUTION Realisation A/c Dr. To Cash / Bank A/c Please Share This Share this content Opens in a new window X Opens in a new window Facebook Opens in a new window Pinterest Opens in a new window LinkedIn Opens in a new window Viber Opens in a new window VK Opens in a new window Reddit Opens in a new window Tumblr Opens in a new window Viadeo Opens in a new window WhatsApp Read more articles Previous PostOn dissolution, what entry is passed if a partner under takes to make payment of a liability of the firm? Next PostOn dissolution of firm, what payment Is made first from the personal assets of a partner? You Might Also Like A, B and C are partners in a firm. Net profit of the firm for the year ended 31st March, 2019 is Rs. 30,000, which has been duly distributed among the partners, in their agreed ratio of 3 : 1 : 1. It is noticed on 10th April, 2019 that the undermentioned transactions were not passed through the books of account of the firm for the year ended 31st March, 2019. (a) Interest on Capital @ 6% per annum, the capital of A, B and C being Rs. 50,000; Rs. 40,000 and Rs. 30,000 respectively. (b) Interest on drawings: A Rs. 350; B Rs. 250; C Rs. 150. (c) Partners’ Salaries: A Rs. 5,000; B Rs. 7,500. (d) Commission due to A (for some special transaction) Rs. 3,000. You are required to pass a Journal entry, which will not affect Profit and Loss Account of the firm and rectify the position of partners inter se. July 22, 2022 How can a new partner be admitted? September 26, 2022 Mention two items that may appear on the debit side of a Partner’s Fixed Capital Account. September 23, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
A, B and C are partners in a firm. Net profit of the firm for the year ended 31st March, 2019 is Rs. 30,000, which has been duly distributed among the partners, in their agreed ratio of 3 : 1 : 1. It is noticed on 10th April, 2019 that the undermentioned transactions were not passed through the books of account of the firm for the year ended 31st March, 2019. (a) Interest on Capital @ 6% per annum, the capital of A, B and C being Rs. 50,000; Rs. 40,000 and Rs. 30,000 respectively. (b) Interest on drawings: A Rs. 350; B Rs. 250; C Rs. 150. (c) Partners’ Salaries: A Rs. 5,000; B Rs. 7,500. (d) Commission due to A (for some special transaction) Rs. 3,000. You are required to pass a Journal entry, which will not affect Profit and Loss Account of the firm and rectify the position of partners inter se. July 22, 2022
Mention two items that may appear on the debit side of a Partner’s Fixed Capital Account. September 23, 2022