DISSOLUTION OF FIRM Class 12th Accounts Board Exam 2025

DISSOLUTION OF FIRM Class 12th Accounts Board Exam 2025 1. . Pass the necessary journal entries for the following transactions on dissolution of the firm of Avyan and Shruti after various assets (other than cash) and third party liabilities have been transferred to Realisation Account: (i) Sundry creditors amounting to 40,000 were settled at a discount of 10%. (ii) An unrecorded computer of 50,000 was taken over by Shruti. (iii) Creditors of 5,000 agreed to take over debtors of 8,000 in full settlement of their claim. (iv) The firm had a debit balance of 42,000 in the Profit and Loss Account on the date of dissolution. (v) There was an old furniture with the firm which had been written off completely from the books. This was sold for 9,000. (vi) Realisation expenses amounting to₹ 11,000 were paid by Shruti. 2. Charu, Divya and Esha were partners in a firm. Pass journal entries for the following transactions on dissolution of the firm after various assets and external liabilities have been transferred to Realisation A/c: (1) An unrecorded asset of ₹40,000 was given to an unrecorded creditor of ₹60,000 in settlement of his claim of ₹45,000 and the balance was paid to him in cash. (ii) A Motorbike which was not recorded in the books was taken over by Charu at 10,000, whereas its expected value was ₹15,000. (iii) Creditors, to whom the firm owed ₹50,000, accepted stock of ₹30,000 at a discount of 20% and the balance in cash. (iv) X, an old customer, whose account for ₹20,000 was written off as bad in the previous year, paid 40% of the amount written off. (v) Esha paid the realisation expenses of 20,000 out of her pocket and she was to get a fixed remuneration of ₹25,000 for completing the dissolution process. (vi) Divya's loan of ₹40,000 was discharged at 42,000.