Vinod, Vijay and Venkat are partners sharing profits and losses in the ratio of 3 : 2 : 1. They decided to dissolve their firm on 31st March, 2019, the date on which their Balance Sheet stood as:
Liabilities Amount Assets Amount
|
Creditors
|
17,000
|
Bank
|
|
3,500
|
|
Bills Payable
|
12,000
|
Stock
|
|
19,800
|
|
Vinod's Loan
|
5,300
|
Debtors
|
15,000
|
|
|
General Reserve
|
6,000
|
Less: Provision for Doubtful Debts
|
1,000
|
14,000
|
|
Capital A/cs:
|
|
Investments
|
|
4,000
|
|
Vinod 25,000
|
|
Furniture
|
|
10,000
|
|
Vijay 11,000
Venkat 8,000
|
44,000
|
Machinery
|
|
33,000
|
84,300 84,300
The following additional information is given:
a The Investments are taken by Vinod for 5,000 in settlement of his loan
b
Assets realised as follows:
|
Stock
|
17,500
|
|
Debtors
|
14,500
|
|
Furniture
|
6,800
|
|
Machinery
|
30,300
|
c Expenses on realisation amounted to 2,000.
Close the books of the firm giving relevant Ledger Accounts.