Question 7: PRACTICAL PROBLEMS Mahesh, Suresh and Jayesh were partners of the firm. They decided to dissolve the firm on 31st March, 2012.

Question 7:

PRACTICAL PROBLEMS
 Mahesh, Suresh and Jayesh were partners of the firm. They decided to dissolve the firm on 31st March, 2012. Their Balance Sheet as on that date was as under:
Balance Sheet as on 31st March, 2012
The firm was dissolved as follows:
1) Mahesh will accept furniture for Rs 2,000 and agreed to accept the debtors of book value of Rs 60,000 on agreed value of Rs 51,000.
2) Suresh will accept stock at an agreed value Rs 20,000, and Sundry Assets of Book value Rs 24,000 at Rs 23,500.
3) Jayesh will accept remaining Sundry Assets for Rs 25,000 He will further accept the liability of loan along with due interest at 12% p.a.
Interest for three months on this loan was outstanding and was not recorded in the books.
4) Expenses of dissolution were Rs 1,000 and outstanding expenses of Rs 1,200 were to be paid from the firm.
5) The remaining debtors were realised Rs 7,000.

Prepare:
1) Realisation A/c
2) Partner’s Capital A/c
3) Bank A/c