Ashok and Kishore were in partnership sharing profits in the ratio of 3 1 They agreed to dissolve th...........

Ashok and Kishore were in partnership sharing profits in the ratio of 3 : 1. They agreed to dissolve the firm. The assets (other than cash of 2,000) of the firm realised 1,10,000. The liabilities and other particulars on that date were:

Creditors                         40,000

Ashok's Capital                1,00,000

Kishore's Capital             10,000 Dr. Balance

Profit and Loss A/c          8,000 Dr. Balance

Realisation Expenses      1,000

You are required to close the books of the firm.