All assets (except cash/bank and fictitious assets) are transferred to the _____ side of _____ Account.
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → Debit/Realization
On dissolution, every asset except cash/bank and fictitious assets is closed by transferring it to the debit side of the Realisation Account at its book value; the sale proceeds are later credited there, and the difference is the profit or loss on realisation.
NCERT (2026-27 edition):
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