Lal and Pal were partners in a firm sharing profits in the ratio of 3 7 On 1st April 2015 their fir......

Realisation Account,  you are given the following information:

a A creditor of 3,60,000 accepted machinery valued at 5,00,000 and paid to the firm 1,40,000.

b A second creditor for 50,000 accepted stock at 45,000 in full settlement of his claim.

c A third creditor amounting to 90,000 accepted 45,000 in cash and investments worth 43,000 in full settlement of his claim.

d Loss on dissolution was 15,000.

Pass necessary Journal entries for the above transactions in the books of firm assuming that all payments were made by cheque.

By: Aman