Partnership

Accountancy

Why "Loan -Gopi Ltd" is not transferred to Realization A/c even though he is not a partner of the firm or Owner of the company?

Dhivyaa Latha

CA Inter

★ 4K+

29-Oct-22 22:19

790

Answers (5)

Best Answer

Its paid off before process of realisation. Alternatively you can transfer to realisation account and show payment entry

CA Suraj Lakhotia

Admin

31-Oct-22 15:01

This is ILLUSTRATION 5 from ICAI MATERIAL. Have attached the question.

Thread Starter

Dhivyaa Latha

CA Inter

★ 4K+

31-Oct-22 11:35

The question states all other liabilities were paid off.

CA Suraj Lakhotia

Admin

31-Oct-22 12:06

CA Suraj Lakhotia Admin

The question states all other liabilities were paid off.

Sir, even if creditors are paid off, we have this journal entry , Realization Ac Dr To Bank Ac Then why in this question alone not transferred to realization A/c Sir ?

Thread Starter

Dhivyaa Latha

CA Inter

★ 4K+

31-Oct-22 14:45

CA Suraj Lakhotia Admin

Its paid off before process of realisation. Alternatively you can transfer to realisation account and show payment entry

Got it Sir. Thanks a lot.

Thread Starter

Dhivyaa Latha

CA Inter

★ 4K+

31-Oct-22 15:05