[6] Dissolution of Partnership Firm - Practical problem - (Balbharati Book Keeping and Accountancy 12th Board Exam)
Practical problem | Q 10 | Page 249
Shweta, Nupur, and Sanika are partners sharing Profits and Losses in the ratio of 3:2:1. Their Balance Sheet as on 31st March 2019 was as follows :
Balance Sheets as on 31st March 2019.
Liabilities | Amount ₹ | Assets | Amount ₹ |
Capital A/c | Sundry Assets | 1,60,000 | |
Shweta | 65,000 | Cash at Bank | 5,000 |
Nupur | 15,000 | Capital A/c: Sanika | 10,000 |
Sundry Creditors | 95,000 | ||
1,75,000 | 1,75,000 |
The firm is dissolved as on 31st March 2019. Sundry Assets realised @ 60% of its book value. Realisation expenses ₹ 2000 paid by Shweta, Nupur, and Sanika both are insolvent. Nupur’s private estate has got a surplus of ₹3,000 and that of Sanika ₹ 8,000.
Show necessary ledger accounts to close the books of the firm.
SOLUTION: In the books of Shweta, Nupur and Sanika
Realisation Account
Particulars | Amount (₹) | Amount (₹) | Particulars | Amount (₹) | Amount (₹) |
To Sundry Assets A/c | 1,60,000 | By Sundry Liabilities A/c (Sundry Creditors) | 95,000 | ||
To Bank A/c | 95,000 | By Bank A/c | 96,000 | ||
Sundry Creditors | Sundry Assets (60 %) | ||||
To Shweta’s Capital A/c | 2,000 | By Partners’ Capital A/c | |||
Shweta | 33,000 | ||||
Nupur | 22,000 | ||||
Sanika | 11,000 | 66,000 | |||
2,57,000 | 2,57,000 |
Partners’ Capital Accounts
Particulars | Shweta (₹) | Nupur (₹) | Sanika (₹) | Particulars | Shweta (₹) | Nupur (₹) | Sanika (₹) |
To Balance b/d | 10,000 | By Balance b/d | 65,000 | 15,000 | |||
To realisation A/c – Loss | 33,000 | 22,000 | 11,000 | By Bank A/c | 3,000 | 8,000 | |
To Nupur’s Capital A/c | 4,000 | By Shweta’s Capital A/c (Deficiency) | 4,000 | 13,000 | |||
To Sanika’s Capital A/c | 13,000 | By realisation A/c (realisation exp.) | 2,000 | ||||
To Bank A/c | 17,000 | ||||||
67,000 | 22,000 | 21,000 | 67,000 | 22,000 | 21,000 |
Bank Account
Particulars | Amount (₹) | Particulars | Amount (₹) |
To Balance b/d | 5,000 | By Sundry Creditors A/c | 95,000 |
To Nupur’s Capital A/c | 3,000 | By Shweta’s Capital A/c | 17,000 |
To Sanika’s Capital A/c | 8,000 | ||
Words to describe people | 96,000 | ||
1,12,000 | 1,12,000 |
Working Notes :
(1) From the private assets of Nupur and Sanika, ₹ 3,000 and ₹ 8,000 received and added to the capital accounts. The deficiency of ₹ 4,000 and ₹ 13,000 arrived. Shweta alone has to bear this deficiency.
(2) 60 % of Debtors realised i.e. 60 % of ₹ 1,60,000 = ₹ 96,000.
