Stale any two situations when a firm is compulsorily dissolved. (C.B.S.E 2019, M. P.) Post category:Accountancy Reading time:1 mins read SOLUTION A firm is compulsorily dissolved in the following cases. (i) When all the partners or all but one partner become insolvent. (ii) When the business of the firm becomes illegal. Please Share This Share this content Opens in a new window Twitter Opens in a new window Facebook Opens in a new window Google+ 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 PostState any two contingencies that may result into dissolution of a partnership firm.(C.B.S.E. M. P.) Next PostState the order of payment of the following, in case of dissolution of partnership firm: (i) to each partner proportionately what is due to him / her from the firm for advances as distinguished from capital (i.e., partners’ loan); (ii) to each partner proportionately what is due to him on account of capital; and (iii) for the debts of the firm to the third parties. (C.B.S.E. Sample Paper, 2019) You Might Also Like What is meant by Cash equivalents? (C.B.S.E. 201.6, 2017, 2019, 2020) October 4, 2022 Book Value of assets (other than cash and bank) transferred to Realisation Account is Rs. 1,00,000. 50% of the assets are taken over by a partner Atul, at a discount of 20%; 40% of the remaining assets are sold at a profit of 30% on cost; 5% of the balance being obsolete, realised nothing and remaining assets are handed over to a Creditor, in full settlement of his claim. You are required to record the Journal entries for realisation of assets. July 25, 2022 Can a partner be exempted from sharing the losses in a firm? If yes, under what circumstances? September 26, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
Book Value of assets (other than cash and bank) transferred to Realisation Account is Rs. 1,00,000. 50% of the assets are taken over by a partner Atul, at a discount of 20%; 40% of the remaining assets are sold at a profit of 30% on cost; 5% of the balance being obsolete, realised nothing and remaining assets are handed over to a Creditor, in full settlement of his claim. You are required to record the Journal entries for realisation of assets. July 25, 2022
Can a partner be exempted from sharing the losses in a firm? If yes, under what circumstances? September 26, 2022