What is the treatment of provisions against assets on dissolution of a firm? Post category:Accountancy Reading time:1 mins read SOLUTION Provisions against assets are credited to Realisation 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 PostAt which value the assets against which provisions exist are transferred to Realisation Account? Next PostWhat entry is passed when an asset is given to a Creditor in full settlement of his dues? You Might Also Like Pass Journal entries for the following: (a) Realisation expenses amounted to Rs. 10,000 were paid by the firm on behalf of Alok, a partner, with whom it was agreed at Rs. 7,500. (b) Realisation expenses amounted to Rs. 5,000. It was agreed that the firm will pay Rs. 2,000 and balance by Ravinder, a partner. (c) Dissolution expenses amounted to Rs. 10,000 were paid by Amit, a partner, on behalf of the firm. July 25, 2022 Murli, Naveen and Omprakash are partners sharing profits in the ratio of 3/8, 1/2 and 1/8. Murli retires and surrenders 2/3rd of his share in favour of Naveen and remaining share in favour of Omprakash. Calculate new profit-sharing ratio and gaining ratio of the remaining partners. August 3, 2022 State one transaction which results in an increase in ‘Liquid Ratio’ and no change in ‘Current Ratio’. October 3, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
Pass Journal entries for the following: (a) Realisation expenses amounted to Rs. 10,000 were paid by the firm on behalf of Alok, a partner, with whom it was agreed at Rs. 7,500. (b) Realisation expenses amounted to Rs. 5,000. It was agreed that the firm will pay Rs. 2,000 and balance by Ravinder, a partner. (c) Dissolution expenses amounted to Rs. 10,000 were paid by Amit, a partner, on behalf of the firm. July 25, 2022
Murli, Naveen and Omprakash are partners sharing profits in the ratio of 3/8, 1/2 and 1/8. Murli retires and surrenders 2/3rd of his share in favour of Naveen and remaining share in favour of Omprakash. Calculate new profit-sharing ratio and gaining ratio of the remaining partners. August 3, 2022
State one transaction which results in an increase in ‘Liquid Ratio’ and no change in ‘Current Ratio’. October 3, 2022