Page 83 - ISCDEBK-12

4.10 Double Entry Book Keeping (Section A)—ISC XII

Solution:
In the Books of the Firm
Dr. REVALUATION ACCOUNT Cr.
Particulars ` Particulars `
To Furniture A/c 8,000 By Provision for Doubtful Debts A/c 500
To Outstanding Rent A/c 1,500 By Land and Building A/c 12,000
To Gain (Profit) on Revaluation transferred to:
A’s Capital A/c 1,000
B’s Capital A/c 1,000
C’s Capital A/c 1,000 3,000
12,500 12,500

Dr. PARTNERS’ CAPITAL ACCOUNTS Cr.

Particulars A B C Particulars A B C
` ` ` ` ` `
To B’s Capital A/c 9,600 ... 9,600 By Balance b/d 60,000 40,000 32,000
To Bank A/c ... 72,200 ... By General Reserve A/c 10,000 10,000 10,000
To Balance c/d 87,900 ... 87,900 By Profit and Loss A/c 2,000 2,000 2,000
(WN) By A’s Capital A/c ... 9,600 ...
By C’s Capital A/c ... 9,600 ...
By Revaluation A/c 1,000 1,000 1,000
—Gain
By Bank A/c 24,500 ... 52,500
(Bal. Fig.)
97,500 72,200 97,500 97,500 72,200 97,500

Dr. BANK ACCOUNT Cr.

Date Particulars ` Date Particulars `
2017 2017
April 1 To Balance b/d 20,000 April 1 By B’s Capital A/c 72,200
April 1 To A’s Capital A/c 24,500 April 1 By Balance c/d 24,800
April 1 To C’s Capital A/c 52,500
97,000 97,000

BALANCE SHEET OF A AND C
as at 1st April, 2018
Liabilities ` Assets `
Capital A/cs: Land and Building 1,32,000
A 87,900 Furniture 20,000
C 87,900 1,75,800 Stock 20,000
Creditors 40,000 Debtors 45,000
Bills Payable 20,000 Less: Provision for Doubtful Debts 4,500 40,500
Outstanding Rent 1,500 Bank 24,800
2,37,300 2,37,300