Question : In settlement of partner's loan of Rs 60,000 to the firm, A furniture not appearing In the books is taken over by her agreed value of Rs 70,000 . Journal entry would be

Option 1: Partner's loan A/c Dr Rs60,000
Partner 's capital a/c Dr Rs 10,000
To Bank A/c 70,000

Option 2: partner's Loan A/c Dr 70,000
To partner's capital account Rs 70,000

Option 3: Partners loan A/c Dr 70,000
to Realization account 60,000
to partner's capital account Rs 10,000

Option 4: No entry is required

Question : Realisation expenses of Rs 10,000 were paid by the firm. Choose the correct journal entry.

Option 1: Realisation A/c ...Dr. 10,000
To Cash/BankA/c 10,000

Option 2: Realisation A/c ...Dr. 10,000
To Concerned Partner's Capital A/c 10,000

Option 3: Concerned Partner's Capital A/c Dr. 10,000
To Cash/Bank A/c 10,000

Option 4: Cash/BankA/c..Dr. 10,000
To Realisation A/c 10,000

Question : Realisation expenses of Rs 10,000 were paid by the firm. Choose the correct journal entry.

Option 1: Realisation A/c ...Dr. 10,000
To Cash/BankA/c 10,000

Option 2: Realisation A/c ...Dr. 10,000
To Concerned Partner's Capital A/c 10,000

Option 3: Concerned Partner's Capital A/c Dr. 10,000
To Cash/Bank A/c 10,000

Option 4: Cash/BankA/c..Dr. 10,000
To Realisation A/c 10,000

Question : Choose the incorrect journal entry. When Present Adjusted Capital (after adjustments) is more than the Proportionate Capital:

Option 1: Concerned Partner's Capital A/c ...Dr.
To Cash A/c or Bank A/c

Option 2: Concerned Partner's Capital A/c ...Dr.
To Concerned Partner's Current A/c

Option 3: Cash A/c or Bank A/c or Concerned Partner's Current A/c.....Dr
To Concerned Partner's Capital A/c .

Option 4: None of the above

Question : If retiring partner's Capital Account after adjustments shows 'Debit Balance', that much amount is receivable from the retiring partner. The entry is:

Option 1: Retiring Partner's Capital A/c ...Dr. [Due Amount]
To Cash/Bank a/c

Option 2: Cash/BankA/c ...Dr.
To Retiring Partner's Capital A/c

Option 3: Interest A/c Dr
To Retiring Partner's Loan A/c

Option 4: None of the above