Question : On firm’s dissolution, when a partner voluntarily gives his personal asset to firms’ creditor as payment, the account credited will be :

Option 1: Realisation A/c

Option 2: Partner’s Capital A/c

Option 3: Cash A/c

Option 4: None of the A/c

Question : On dissolution of a firm, a partner paid Rs. 6,500 for firm’s realisation expenses. Which account will be debited?

Option 1: Cash Account

Option 2: Realisation Account

Option 3: Capital Account of the Partner

Option 4: Profit & Loss A/c

Question : When a partner pays unrecorded liability is --------------------debited and concerned ------------------------is credited.

Option 1: Realization account debited, concerned partner's capital account

Option 2: Concerned partner's capital, realization account

Option 3: Unrecorded liability debited, cash account 

Option 4: None of the above.

Question : Unrecorded liabilities, when paid on the dissolution of a firm, are credited to

Option 1: partner's capital account 

Option 2: liabilities account

Option 3: cash account

Option 4: Realization account

Question : On dissolution of a firm, out of the proceeds received from the sale of assets will be paid first of all to :

Option 1: Partner’s Capital

Option 2:  Partner’s additional capital

Option 3: Outside Creditors

Option 4: Partner’s Loan to Firm