I! Dr. 977 Date Particulars B Date Particulars B 2017 To Partners' Current Alcs 12,400 2017 By Balance bld 20,000 25,000 12,500 Oct. 1 To Realisation Alc 2,500 Oct. 1 By Partners' Current A/cs 18,600 7,200 To Cash and Bank A/C 38,810 12,809 17,409 By Realisation Alc 210 209 209 38,810 25,209 19,909 38,810 25,209 19.909 Partners' Current Accounts Cr. Date Particulars A B Date Particulars B 2017 To Balance b/d 12,400 2017 By Balance bld 18,600 7,200 Oct 1 To Partners' Capital Alcs 18,600 7,200 Oct. 1 By Partners' Capital A/cs 12,400 18,600 12,400 7,200 18,600 12,400 7,200 Dr. Cash and Bank Account Cr. Particulars Particulars To Balance b/d 4,200 By Realisation Alc 27,620 To Realisation Alc 92,448 By Partners Capital A/cs: 38,810 12,809 17,409 96,648 96,648 Working Note: (1) Calculation of money realised from sale of stock Book value Amount realised (1) 70% of 29,940 = 20,958 *20.958 (ii) 10% of 29,940 = 2,994 Nil (Discarded) (iii) the rest = 5,988 2.994 (50%) * 29.940 323,952 Illustration 10 Ram, Rahim and Anthony were in partnership sharing profits and losses in the ratio of 1/2, 1/3 and 1/6 respectively. They decided to dissolve the partnership firm on 31.3.2018, when the Balance Sheet of the firm appeared as under : Liabilities Assets Sundry Creditors 5,67,000 Goodwill 4,56,300 Bank Overdraft 6,06,450 Plant and Machinery 6,07,500 Joint Life Policy Reserve 2,65,500 Furniture 64,650 Loan from Mrs. Ram 1,50,000 Stock 2,36,700 Capital Accounts: Sundry Debtors 5,34,000 Ram 4,20,000 Joint Life Policy 2,65,500 Rahim 2,25,000 Commission Receivable 1,40,550 Anthony 120,000 7,65,000 Cash in Hand 48,750 23,53,950 23,53,950 The folowing details are relevant for dissolution : (1) The joint life policy was surrendered for 2,32,500. (ii) Ram took over goodwill and plant and machinery for 9,00,000. (iii) Ram also agreed to discharge bank overdraft and loan from Mrs Ram. (iv) Furniture and stocks were divided equally between Ram and Rahim at an agreed valuation of 3,60,000. (v) Sundry debtors were assigned to firm's creditors in full satisfaction of their claims. (vi) Commission receivable was received in toto in time. (vii) A bill discounted was subsequently returned dishonoured and proved valueless 30,750 (including ? 500 noting charges). (viii) Ram paid the expenses of dissolution amounting to 18,000. (ix) Anthony agreed to receive 1,50,000 in full satisfaction of his rights, title and interest in the firm. You are required to show accounts relating to closing of books on dissolution of the firm