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Balance of Excess Payment Rs. 28,000 17,500 (17,500) 10,500 (10,500) 170 Balance Payment (Rs.76,500 - Rs.28,500) Rs.48,000 Loss Total Payment Rs. 76,500 Illustration 8 37,500
Balance of Excess Payment Rs. 28,000 17,500 (17,500) 10,500 (10,500) 170 Balance Payment (Rs.76,500 - Rs.28,500) Rs.48,000 Loss Total Payment Rs. 76,500 Illustration 8 37,500 (24,000) 13,500 41,500 22,500 (14,400) 8.100 25.400 15,000 (9,600) 5.400 9.600 The firm of LMS was dissolved on 31.3.2005, at which date its Balance Sheet stood as follows: Liabilities Rs. Assets Rs. Creditors 2,00,000 Fixed Assets 45,00,000 Bank Loan 5,00,000 Cash and Bank 2,00,000 L's Loan 10,00,000 Capital L 15,00,000 M 10,00,000 S 5,00.000 Total 47,00.000 47,00,000 Partners share profits equally. A firm of Chartered Accountants is retained to realise the assets and distribute the cash after discharge of liabilities. Their fees which are to include all expenses is fixed at Rs. 1,00,000. No loss is expected on realisation since fixed assets include valuable land and building. Realisations are: S.No. Amount in Rs. 1 5,00,000 2 15,00,000 3 15,00,000 4 30,00,000 5 30,00,000 The Chartered Accountant firm decided to pay off the partners in 'Higher Relative Capital Method'. You are required to prepare a statement showing distribution of cash with necessary workinos
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