Parul, Payal, and priyanka are partners in a firm . they decided to dissolve their firm . pass necessary journal entries for the following after various assets (other than cash) and third parties parties liability have transferred to realization a/c :
(i) Total debtors were of 76000 and a provision for doubtful debt also stood in the books at Rs. 6000, Rs. 12000 debtors proved bad and rest were paid the amount due .
(ii) Parul agreed to pay off her husband‘ loan 7000 at a discount of 5% .
(iii) A machine which was not recorded in the books was taken over by Payal at 3000 whereas its expected value was 5000.
(iv) A contingent liability ( not provided for ) of 4000 was also discharged .
(v) The firm had a debit balance of 27000 in the P/L a/c on the date of dissolution .
(vi) A Priyanka paid the realization expenses of 15000 out of her pocket but she was to get a remuneration of 18000 for completing the dissolution process.
