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easyMCQCUET Accountancy 2025 30 May Shift 22026Accountancy
1 mark

Which account is debited for Realisation expenses paid?

  1. A
    Realisation Account
  2. B
    Bank Account
  3. C
    Revaluation Account
  4. D
    Realisation expense Account

Solution & Step-by-step Explanation

When realisation expenses are borne and paid by the firm, they are treated as a dissolution cost and debited directly to the Realisation Account, while the Cash/Bank account is credited.The journal entry is:

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Try it yourself before checking the explanation above.

Which account is debited for Realisation expenses paid?
A
Realisation Account
B
Bank Account
C
Revaluation Account
D
Realisation expense Account

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