X & Y are partners sharing profits and losses in the ratio 4:3. They decide to dissolve the firm. On the date of dissolution following information is available-
X's Capital = ₹125030
Y's Capital = ₹2070
Creditors = ₹23150
Cash = ₹4520
Remaining assets realised at ₹124910 and the dissolution expenses are ₹1860. Both Partners are solvent.

Pass the journal entry for the payment of realisation expenses?

Realisation A/c Dr. ₹1860
    To Cash A/c                ₹1860

If some expenses are incurred by the firm during the realisation of assets and payment of liabilities and the firm makes the payment, the entry will be as follows: Realisation Account Dr. To Bank Account
This entry reflects the payment made by the firm to settle the realisation expenses incurred during the dissolution process.
So, here journal entry will be-
 Realisation A/c Dr. ₹1860
    To Cash A/c                ₹1860