A, B and C were partners sharing profits and losses in the ratio of 2 : 2 : 1. Their Balance Sheet as at 31st March, 2018 was as follows :
Balance Sheet of A, B and C as at 31st March, 2018
Liabilities | Amount (Rs.) | Assets | Amount (Rs.) |
Capitals | Â | Cash at Bank | 3,00,000 |
A   7,50,000 |  | Sundry Debtors  1,95,000 |  |
B   3,00,000 |  | Les: Provision for Doubtful Debts            5,000 | 1,90,000 |
C Â Â 2,50,000 | 13,00,000 | Stock | 3,00,000 |
Creditors | 2,00,000 | Fixed Assets | 7,10,000 |
| Â | 15,00,000 | Â | 15,00,000 |
Â
On the above date they dissolved the firm and following amounts were realised : Fixed Assets Rs. 6,75,000; Stock Rs. 3,39,000; Debtors Rs. 1,35,000; Creditors were paid Rs. 1,85,000 in full settlement of their claim. Expenses on Realisation amounted to Rs. 19,000.
Pass the necessary journal entries on the dissolution of the firm.
Marks-6, CBSE:2018-19/Main/04/Q-13*
