A, B and C are in partnership sharing in 4 : 3 : 3. They decided to dissolve the partnership firm. At the date of dissolution their creditors amounted to ₹ 16,800

A, B and C are in partnership sharing in 4 : 3 : 3. They decided to dissolve the partnership firm. At the date of dissolution their creditors amounted to ₹ 16,800 and in the course of dissolution a contingent liability of ₹ 3,500 not brought into the accounts matured and had to be met. Their capitals stood at ₹ 12,000, ₹ 10,000 and ₹ 8,000 respectively. B had lent to the firm in addition to Capital ₹ 13,200. The assets realised ₹ 45,670.

Prepare the Realisation Account and Partner’s Capital Accounts. Also show the Bank Account.

[Ans. Sundry Assets ₹ 60,000; Loss on Realisation ₹ 17,830. Final Payment to A ₹ 4,868; B ₹ 4,651; C ₹ 2,651. Total of Cash A/c ₹ 45,670.]