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Commerce · Q669

Accounting

Graduate and Post Graduate · Commerce · question 669

Q669

Which one of the following statements is false:

A.
Realisation A/c is credited when the assets are realised
B.
Realisation A/c is directly credited when unrecorded asset is realised
C.
When goodwill is given in the books of a firm, then on dissolution of the firm goodwill A/c is also transferred to realisation A/c
D.
In case of gradual realisation of assets, the cash will be distributed amongst the partners in their profit-sharing ratio though their capitals are not in their profit-sharing ratio
Answer

Answer: Option D

Solution

Answer: Option D
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