Question : ______ A/C is opened for disposing of all the assets of firm and making payment of all the liabilities.

Option 1: Revaluation

Option 2: Profit and Loss Suspense

Option 3: Realisation

Option 4: Profit and Loss Appropriation

Question : Realisation A/c is prepared to ascertain the _________

Option 1: Profit/loss on realisation of asset

Option 2: Profit/loss on repayment of liabilities

Option 3: Both 1 and 2

Option 4: None of the above

Question : Realisation Expenses, 15,000 were paid by the firm on behalf of a partner. The Journal Entry passed will be:

Option 1: Realisation A/c Dr. 15,000
To Cash/Bank A/c 15,000

Option 2: Realiastion A/c Dr. 15,000
To Concerned Partner’s Capital A/c 15,000

Option 3: Concerned Partner’s Capital A/c Dr. 15,000
To Cash/Bank A/c 15,000

Option 4: Cash/Bank A/c Dr. 15,000
To Realisation A/c 15,000

Question : What journal entry will be made of accumulated profits and losses on the death of partner? 

Option 1: Deceased Partner’s Capital A/c      Dr.

      To Profit and Loss A/c 

Option 2: Profit and Loss A/c             Dr.

To Deceased Partner’s Capital A/c 

Option 3: Deceased Partner’s Capital A/c      Dr.

  To Profit and Loss Suspense A/c 

Option 4: Profit and Loss Suspense A/c     Dr.

To Deceased Partner’s Capital A/c 

Question : Which of the following is transferred to Realisation Account:

Option 1: Bank Account

Option 2: Balance of Profit & Loss Account

Option 3: cash received from debtors

Option 4: capital account