CBSE 2025 · Region 4 · Set 1 · Q23

Madhur and Neeraj were partners in a firm sharing profits and losses in the ratio of $\displaystyle 3$ : 2. The Balance Sheet as at 31st March, $\displaystyle 2024$ was as follows : Balance Sheet of Madhur and Neeraj as at 31st March, $\displaystyle 2024$ Amount Amount Liabilities Assets ( ) $\displaystyle 2$ ( ) $\displaystyle 2$ Capitals : Machinery $\displaystyle 7,00,000$ Madhur $\displaystyle 9,00,000$ Investments $\displaystyle 4,00,000$ Neeraj $\displaystyle 8,00,000$ $\displaystyle 17,00,000$ Debtors $\displaystyle 11,00,000$ Creditors $\displaystyle 6,00,000$ Stock $\displaystyle 2,00,000$ Bills Payable $\displaystyle 2,00,000$ Cash at Bank $\displaystyle 1,00,000$ $\displaystyle 25,00,000$ $\displaystyle 25,00,000$ The firm was dissolved on the above date and the following transactions took place : (i) Machinery was taken over by creditors in full settlement of their account. (ii) Investments were taken over by Neeraj at ₹ $\displaystyle 5,00$,000. (iii) One of the debtors of ₹ $\displaystyle 1,00,000$ was untraceable. Remaining debtors were realised at $\displaystyle 10$% less. (iv) Stock was taken over by Madhur at $\displaystyle 50$% discount. (v) Realisation expenses amounting to ₹ $\displaystyle 1,00,000$ were paid by Madhur. Prepare Realisation Account.