For partnership dissolved on July 31, balance sheet on the date of dissolution was as follows:
|
Liabilities |
Rs |
Assets |
Rs |
|
|
Capitals: |
Cash |
16,200 |
||
|
Mohan |
1,14,000 |
Sundry Assets |
2,83,800 |
|
|
Mohamed |
72,000 |
|||
|
Martin |
54.000 |
2,40,000 |
||
|
Loan: Mohamed |
15,000 |
|||
|
Sundry Creditors |
45,000 |
|||
|
3,00,000 |
– |
3,00,000 |
The assets were realised in instalments and payment was made on the proportionate capital basis. Creditors were paid Rs 43,500 in full settlement of their accounts. Expenses on realisation were estimated to be Rs 8,100 but actual amount spent on this was Rs 6,000. This amount was paid on Nov 2. Draw up memorandum of distribution of cash that was realised as follows:
On Aug 10, Rs 37,800
On Sep 15, Rs 90,000
On Nov 2, Rs 1,20,000
The partners shared profits and losses in the ratio of 2:2:1