Practicing Success
A partner was paid Rs 15,000 to bear the Realisation expenses, while actual expenses were of Rs 10,000 for dissolution of firm. How and by how much amount, realisation account would be treated? |
Debited by Rs 15,000 Debited by Rs 10,000 Credited by Rs 15,000 Credited by Rs 10,000 |
Debited by Rs 15,000 |
Firm paid 15,000 to partner for realisation, so Realisation will be debited by Rs 15,000 only in spite of actual expenses. |