Varun and Arun are partners in a firm sharing profits and losses equally. On the date of dissolution of the partnership firm, Varun’s wife’s loan was Rs. 45,000, whereas Arun’s loan was Rs. 65,000. Which loan will be paid first and why? (CBSE 2019) Post category:Accountancy Reading time:1 mins read SOLUTION Varun’s wife’s loan will be paid first as it’s an outside liability (third party liability’). 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 PostPass the necessary journal entry for treatment of Partner’s loan appearing on the assets side of the Balance Sheet in case of dissolution of a partnership firm. (CBSE 2019) Next PostA and B are partners in a firm sharing profits in the ratio of 3: 2. Mrs. B has given a loan of Rs. 40,000 to the firm and A has also given a loan of Rs. 80,000 to the firm. The firm was dissolved and its assets realised Rs. 60,000. State the order of payment of Mrs. B’s loan and A’s loan assuming that there was no other third-party liability of the firm. (CBSE 2019 C) You Might Also Like Why is ‘Goodwill’ considered an ‘Intangible Asset’ but not a ‘Fictitious Asset’? (ISC 2020) September 26, 2022 Creditors amounting to Rs. 80,000 are transferred to Realisation Account. What entry will be made on their payment if Rs. 10,000 of the creditors are not to be paid and the remaining creditors agreed to accept 20% less amount? September 27, 2022 X and Y shared profits in the ratio of 3: 1. They admit Z to one-third share in the future profits. What will be the new profit-sharing ratio? September 26, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.