Match List-I with List-II:List-I (Transaction)List-II (Relevant account)(A) Settlement of Partners Loan(I) Credit side of Realization A/c(B) Transfer of liabilities(II) Partner's Capital will be credited(C) Transfer of Assets(III) Credit Side of Bank A/c(D) Remuneration payable to partner(IV) Debit Side of Realization A/cChoose the correct answer from the options given below:
- A(A) - (I), (B) - (II), (C) - (IV), (D) - (III)
- B(A) - (III), (B) - (I), (C) - (IV), (D) - (II)
- C(A) - (II), (B) - (I), (C) - (IV), (D) - (III)
- D(A) - (III), (B) - (IV), (C) - (I), (D) - (II)
Solution & Step-by-step Explanation
Let's match the accounting treatments on dissolution step-by-step:(A) Settlement of Partners Loan: Paid directly via bank account recorded on the Credit Side of Bank A/c (III).(B) Transfer of liabilities: Closed by transferring to the Credit side of Realization A/c (I).(C) Transfer of Assets: Closed by transferring to the Debit Side of Realization A/c (IV).(D) Remuneration payable to partner: Firm's expense that increases partner's equity Partner's Capital will be credited (II).Thus, the correct mapping is (A) - (III), (B) - (I), (C) - (IV), (D) - (II).