Question

X, Y and Z were partners, sharing profits and losses equally. Y died on 1st October, 2023 and the total amount transferred to Y’s executors was ₹ 15,60,000. Y’s executors were being paid ₹ 3,60,000 immediately, and the balance was to be paid in four equal quarterly installments, together with interest @ 6% p.a. Pass entries till payment of the first two installments.

Answer 1

Journal Entries
Date	Particulars	Debit	Credit
1.10.2023	Y's Capital A/c   ...Dr.	15,60,000
	To Y's Executors A/c		15,60,000
	(Being balance in capital transferred to executors account)
1.10.2023	Y's Executors A/c   ...Dr.	3,60,000
	To Banks A/c		3,60,000
	(Being payment made to the executor)
31.12.2023	Interest A/c   ...Dr.	18,000
	To Y's Executor's A/c		18,000
	(Being Interest due)
31.12.2023	Y's Executors A/c   ...Dr.	3,18,000
	To Banks A/c		3,18,000
	(Being payment made to the executor)
31.03.2024	Interest A/c   ...Dr.	13,500
	To Y's Executor's A/c		13,500
	(Being Interest due)
31.03.2024	Y's Executors A/c   ...Dr.	3,13,500
	To Banks A/c		3,13,500
	(Being payment made to the executor)