At the time of Dissolution of firm, a partner named Sandeep decided to take over 50% Stock (1,00,000 Book Value) at 10% discount. Realisation Account will be:
Answer & explanation
Correct answer: option 2
"(50,000 -50,000* 10%) = 45,000 Credited to Realisation Account.
As the journal entry for this is-
Sandeep A/c Dr. 45000
To Realisation A/c 45000