In case of dissolution of a partnership firm, Match List-I with List-II.

List-I

(A) Realisation expenses are incurred and paid by the firm.

(B) Realisation expenses are paid by a partner on behalf of the firm.

(C) Partner himself pays the realisation expenses.

(D) When a partner has agreed to bear the realisation expenses and payment is made by the firm.

List-II

(I) Partner's Capital A/c Dr. To Bank A/c

(II) Realisation A/c Dr. To Bank A/c

(III) No Entry

(IV) Realisation A/c Dr. To Partner's Capital A/c

Choose the correct answer from the options given below:

(A) - (II), (B) - (IV), (C) - (III), (D) - (I)

Correct answer: Option (3) → (A) - (II), (B) - (IV), (C) - (III), (D) - (I)

Concept: Treatment of realisation expenses on dissolution, per Dissolution of Partnership Firm.

(A) Expenses incurred and paid by the firm: Realisation A/c Dr. To Bank A/c → (II).
(B) Paid by a partner on behalf of the firm: Realisation A/c Dr. To Partner’s Capital A/c → (IV).
(C) Partner has agreed to bear and himself pays: No Entry → (III).
(D) Partner agreed to bear but the firm makes the payment: Partner’s Capital A/c Dr. To Bank A/c → (I).
Thus A-II, B-IV, C-III, D-I.