Practicing Success
Practicing Success
CUET Preparation Today
| At the time of dissolution, it was found out that there is an unrecorded liability of Rs 15,000 and an unrecorded asset of Rs 18,000. The firm gave this unrecorded asset against the unrecorded liability. How will it be treated? |
Realisation would be Debited by Rs 18,000 and Credited by Rs 15,000. Bank Account would be Debited by Rs 18,000 and Credited by Rs 15,000 Profit on Realisation would be Rs 3,000 No entry would be passed |
| No entry would be passed |
| No Entry is passed if unrecorded asset is given against a recorded or unrecorded liability. |
