Practicing Success

Target Exam

CUET

Subject

Accountancy

Chapter

Dissolution of Partnership Firm

Question:

X, Y & Z are partners in a partnership firm. They decided to dissolve the firm for which firm borne the realisation expenses of ₹20000. On the date of dissolution following information is available-
X's Capital = ₹500000
Y's Capital = ₹500000
Z's Capital = ₹300000
Creditors = ₹200000
Cash = ₹300000
Loan to Y = ₹100000
Profit and loss credit balance = ₹150000
Land & building = ₹800000
Investments = ₹200000
Debtors = ₹100000
Stock = ₹150000
Land & building sold at a profit of 12.5%. Debtors are realised at ₹90000 whereas stock is realised at ₹140000. X take over the investments for ₹190000. All the creditors are paid by the firm on which firm got discount of 5%.

Which of the following partner will bring cash to meet deficiency in his account ?

Options:

X

Y

Z

None of these

Correct Answer:

None of these

Explanation:

This is the capital accounts of the partners.

Particulars X (₹) Y (₹) Z (₹) Particulars X (₹) Y (₹) Z (₹)
To Realisation A/c
(Investments)
190000     By balance b/d 500000 500000 300000
To Bank A/c (final payment) 380000  570000 370000 By profit & loss  50000 50000 50000
         By Realisation A/c (profit) 20000 20000 20000
  570000 570000 370000   570000 570000 370000