At the time of dissolution, a firm transferred Rs. 100,000 Assets to the realization account and 50% of the assets were taken over by Kiran at 20% discount. How much net assets were taken over by Kiran?
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → Rs. 40,000
A partner who takes over assets on dissolution takes them at the agreed value, here the book value less the discount.
Assets taken over = 50% of Rs. 100,000 = Rs. 50,000
Discount = 20% of Rs. 50,000 = Rs. 10,000
Net assets taken over by Kiran = Rs. 50,000 − Rs. 10,000 = Rs. 40,000
The entry is Kiran’s Capital A/c Dr. Rs. 40,000, To Realisation A/c Rs. 40,000. In the book’s exercise the partner is Atul; the figures are the same.
NCERT (2026-27 edition):
|
