Question

Amul and Sumul were partners sharing profits and losses in the ratio of 3 : 2. Their Balance Sheet as on 31st March, 2023 was as follows:

Balance Sheet as on 31st March, 2023
Liabilities	Amount (₹)	Assets	Amount (₹)
Capital Accounts :		Building	10,500
Amul	15,000	Plant	13,500
Sumul	9,000	Debtors	21,000
Current Accounts:		Stock	7,500
Amul	4,500	Bank	9,000
Sumul	3,000
Creditors	26,100
Bills Payable	3,900
	61,500		61,500

The firm was dissolved on the above date and the assets realised as under:

(1) Plant ₹ 12,000, Building ₹ 9,000, Stock ₹ 6,000, and Debtors ₹ 18,000.

(2) Amul agreed to pay off the Bills Payable.

(3) Creditors were paid in full.

(4) Dissolution expenses were ₹ 2,100.

Prepare: Realisation A/c, Partners' Current A/cs, Partners' Capital A/cs and Bank A/c.

Answer 1

Dr.	In the books of Amul and Sumul Realisation Account				Cr.
Particulars	Amount (₹)	Amount (₹)	Particulars	Amount (₹)	Amount (₹)
To Sundry Assets A/c			By Sundry Liabilities A/c
Building	10,500	52,500	Creditors	26,100	30,000
Plant	13,500		Bills Payable	3,900
Debtors	21,000		By Bank A/c
Stock	7,500		Plant	12,000	45,000
To Amul’s Current A/c			Building	9,000
Bills Payable		3,900	Stock	6,000
To Bank A/c			Debtors	18,000
Dissolution Expenses	2,100	28,200	By Partner's Current A/c (Loss on Realisation transferred)
Creditors	26,100		Amul	5,760	9,600
			Sumul	3,840
		84,600			84,600

 

Dr.	Partner's Current Accounts				Cr.
Particulars	Amul (₹)	Sumul (₹)	Particulars	Amul (₹)	Sumul (₹)
To Realisation A/c – Loss	5,760	3,840	By Balance b/d	4,500	3,000
To Partner's Capital A/c	2,640	-	By Bills Payable A/c	3,900	-
			By Partner's Capital A/c	-	8,40
	8,400	8,400		8,400	8,400

 

Dr.	Partner's Capital Accounts				Cr.
Particulars	Amul (₹)	Sumul (₹)	Particulars	Amul (₹)	Sumul (₹)
To Partner's Current A/c	-	840	By Balance b/d	15,000	9,000
To Bank A/c	17,640	8,160	By Partner’s Current A/c	2,640	-
	17,640	9,000		17,640	9,000

 

Dr.	Bank Account		Cr.
Particulars	Amount (₹)	Particulars	Amount (₹)
To Balance b/d	9,000	By Realisation A/c (Exp. and Liabilities)	28,200
To Realisation A/c (Assets)	45,000	By Amul’s Capital A/c	17,640
		By Sumul’s Capital A/c	8,160
	54,000		54,000