L-8 » Dissolution of Partnership Firm- MCQs (12th) | Accountancy | Objective Questions- 12th

Multiple Choice

Verified

ID- 4625

BSEB, 2015, 18

1. A firm can be voluntarily dissolved by the partners:

(A) On Majority basis
(B) On 3/4 Member's decision
(C) On 1/2 Member's decision
(D) None of these

Aug 27, 2022 at 08:10 AM

Multiple Choice

VVI

Verified

ID- 4626

BSEB, 2013, 15, 19

2. Expenses on the dissolution of a firm are called:

(A) Realisation Expenses
(B) Legal Expenses
(C) Loss Expenses
(D) None of these

Aug 27, 2022 at 08:09 AM

Multiple Choice

VVI

Verified

ID- 4627

3. On dissolution of a firm partner's Loan A/c is transferred to:

(A) Realisation Account
(B) Partner's Capital A/cs
(C) Suspense A/c
(D) None of these

Aug 27, 2022 at 08:09 AM

Multiple Choice

Verified

ID- 4628

BSEB, 2018

4. When a partner taxes responsibility to make payment of any outside liability of the firm, the account credited will be:

(A) Realisation A/c
(B) Cash A/c
(C) Partner's Capital Account
(D) None of these

Aug 27, 2022 at 08:09 AM

Multiple Choice

VVI

Verified

ID- 4629

BSEB, 2015, 19

5. At the time of dissolution of the firm book value of assets is recorded on which side of the Realisation Account?

(A) Debit side
(B) Credit side
(C) Liabilities side
(D) All of the above

Aug 27, 2022 at 08:09 AM

Multiple Choice

VVI

Verified

ID- 4630

BSEB, 2010, 15, 17, 19

6. Payment of credit balance of partners' capital accounts at the time of dissolution of a firm is made to:

(A) Partners
(B) Firm
(C) Wife
(D) None of these

Aug 27, 2022 at 08:09 AM

Multiple Choice

Verified

ID- 4631

7. On dissolution of a firm, the amount realized from an unrecorded asset is credited to:

(A) Partner's Capital Account
(B) Cash Account
(C) Realisation Account
(D) Revaluation Account

Aug 27, 2022 at 08:09 AM

Multiple Choice

VVI

Verified

ID- 4632

8. Realisation expenses are recorded on which side of Realisation A/c:

(A) Liabilities
(B) Assets
(C) Debit
(D) Credit

Aug 27, 2022 at 08:08 AM

Multiple Choice

VVI

Verified

ID- 4633

9. Unrecorded assets when taken over by a partner are shown in:

(A) Debit side of Realisation A/c
(B) Debit side of Bank A/c
(C) Credit side of Realisation A/c
(D) Credit side of Bank A/c

Aug 27, 2022 at 08:08 AM

Multiple Choice

Verified

ID- 4634

BSEB, 2012

10. Which of the following is correct profit or loss in case the amount received from the sale of assets is ₹ 50,000, total assets are ₹ 60,000, total liabilities ₹ 20,000, and realization expenses ₹ 2,000?

(A) 12,000 (loss)
(B) 32,000 (profits)
(C) 30,000 (loss)
(D) 12,000 (profits)

Aug 27, 2022 at 08:08 AM

Multiple Choice

VVI

Verified

ID- 4635

BSEB, 2015, 18

11. Cash balance shown in the balance sheet is shown on the dissolution of the firm in:

(A) Realisation Account
(B) Cash Account
(C) Capital Account
(D) None of these

Aug 27, 2022 at 08:08 AM

Multiple Choice

VVI

Verified

ID- 4636

12. When realisation expenses are paid by the firm on behalf of a partner, such expenses are debited to:

(A) Realisation Account
(B) Partner's Capital Account
(C) Partner's Loan Account
(D) None of these

Aug 27, 2022 at 08:08 AM

Multiple Choice

VVI

Verified

ID- 4637

BSEB, 2012, 13, 15, 18

13. Realisation Account is a:

(A) Personal A/c
(B) Nominal A/c
(C) Real A/c
(D) None of these

Aug 27, 2022 at 08:07 AM

Multiple Choice

VVI

Verified

ID- 4638

14. On dissolution of a firm, a partner paid ₹ 1,500 for the firm's realisation expenses. Which account will be debited?

(A) Cash Account
(B) Realisation Account
(C) Capital Account of the partner
(D) Profit and Loss A/c

Aug 27, 2022 at 08:06 AM

Multiple Choice

VVI

Verified

ID- 4639

15. In the event of dissolution of a partnership firm, the provision for doubtful debts is transferred to:

(A) Realisation Account
(B) Partners' Capital Account
(C) Sunday Debtors Account
(D) None of the above

Aug 27, 2022 at 08:06 AM

Multiple Choice

Verified

ID- 4640

16. On taking responsibility for payment of liability of ₹ 20,000 by a partner, the account credited will be:

(A) Realisation Account
(B) Cash Account
(C) Partner's Capital Account of the partner
(D) Liability Account

Aug 27, 2022 at 08:06 AM

Multiple Choice

VVI

Verified

ID- 4641

BSEB, 2011, 15, 19

17. On dissolution of a firm, Bank overdraft is transferred to:

(A) Cash Account
(B) Bank Account
(C) Realisation Account
(D) Partner's Capital Accounts

Aug 27, 2022 at 08:06 AM

Multiple Choice

VVI

Verified

ID- 4642

18. On dissolution of a firm, loss on realisation account is debited to which account?

(A) Cash Account
(B) Partners' Capital Accounts
(C) Realisation Account
(D) None of these

Aug 27, 2022 at 08:06 AM

Multiple Choice

VVI

Verified

ID- 4643

19. There was an unrecorded asset of ₹ 12,000 which was taken over by a partner at ₹ 10,500. Partner's capital account will be debited by:

(A) 12,000
(B) 10,500
(C) 1,500
(D) 32,500

Aug 27, 2022 at 08:05 AM

Multiple Choice

VVI

Verified

ID- 4644

20. Which of the following is transferred to Realisation Account?

(A) Balance of Cash Account
(B) Balance of Profit and Loss Account
(C) Creditors
(D) Reserves

Aug 27, 2022 at 08:05 AM

Multiple Choice

VVI

Verified

ID- 4645

21. At the time of dissolution of the partnership firm, fictitious assets are transferred to:

(A) Capital Accounts of Partners
(B) Realisation Account
(C) Cash Account
(D) Partners' Loan Account

Aug 27, 2022 at 08:05 AM

Multiple Choice

Verified

ID- 4646

22. What will be the total assets (except cash) of the firm from the following (if) creditor ₹ 15,000, Partner's Loan ₹ 10,000 Partner's Capital 40,000 Cash in hand ₹ 5,000

(A) 60, 000
(B) 65,000
(C) 70,000
(D) 55,000

Aug 27, 2022 at 08:05 AM

Multiple Choice

VVI

Verified

ID- 4647

BSEB, 2015, 19

23. On the firm's dissolution, which one of the following accounts should be prepared at the last?

(A) Realisation Account
(B) Partners' Capital Account
(C) Cash or Bank Account
(D) Partners Loan Account

Aug 27, 2022 at 08:04 AM

Multiple Choice

Verified

ID- 4648

24. If the total assets are ₹ 3,25,000 and the total outside liabilities ₹ 45,000 then the amount of all partner's capital will be:

(A) ₹ 3,70,000
(B) ₹ 2,80,000
(C) ₹ 3,00,000
(D) None of these

Aug 27, 2022 at 08:04 AM

Multiple Choice

VVI

Verified

ID- 4649

BSEB, 2009, 15, 19

25. On dissolution of a firm, the Partner's Loan Account is transferred to:

(A) Realisation Account
(B) Partner's Capital Account
(C) Partner's Current Account
(D) None of these

Aug 27, 2022 at 08:04 AM

Multiple Choice

VVI

Verified

ID- 4650

26. On dissolution of a firm, realisation account is debited with:

(A) All assets to be realised
(B) All outside liabilities of the firm
(C) Cash received on sale of assets
(D) Any asset taken over by one of the partners

Aug 27, 2022 at 08:04 AM

Multiple Choice

VVI

Verified

ID- 4651

27. On dissolution of a firm, out of the proceeds received from the sale of assets will be paid first of all to:

(A) Partners' Capital
(B) Partner's Loan to Firm
(C) Partner's additional capital
(D) Outside Creditors

Aug 27, 2022 at 08:04 AM

Multiple Choice

Verified

ID- 4652

28. Insolvency of a partner adjudicated by the court will come under which type of dissolution of a firm?

(A) Dissolution by Court
(B) Compulsory Dissolution
(C) On happening of certain contingencies
(D) None of these

Aug 27, 2022 at 08:03 AM

Multiple Choice

VVI

Verified

ID- 4653

29. Profit/loss on Realisation Account is distributed among partners:

(A) In Profit-sharing Ratio
(B) In Capital Ratio
(C) Equally
(D) None of these

Aug 27, 2022 at 08:03 AM

Multiple Choice

VVI

Verified

ID- 4654

30. On dissolution, if a partner undertakes to make payment of a liability of the firm, the account to be debited is:

(A) Profit and Loss Account
(B) Realisation Account
(C) Partner's Capital Account
(D) Cash Account

Aug 27, 2022 at 08:03 AM

Multiple Choice

Verified

ID- 4655

31. On taking responsibility for payment of realisation expenses by a partner, the account credited will be:

(A) Realisation Account
(B) Cash Account
(C) Capital Account of the partner
(D) None of the above

Aug 27, 2022 at 08:02 AM

Multiple Choice

VVI

Verified

ID- 4656

32. At the time of the firm's dissolution, the Balance of General Reserve shown in the Balance Sheet is credited to:

(A) Realisation Account
(B) Creditors' Account
(C) Partners' Capital Account
(D) Profit and Loss Account

Aug 27, 2022 at 08:01 AM

Multiple Choice

VVI

Verified

ID- 4657

BSEB, 2018

33. Unrecorded liabilities when paid are shown in:

(A) Debit side of Realisation Account
(B) Debit side of Bank Account
(C) Credit side of Realisation Account
(D) Credit side of Bank Account

Aug 27, 2022 at 08:01 AM

Multiple Choice

Verified

ID- 4658

34. After transferring liabilities like creditors and bills payable in the Realisation Account in the absence of any information regarding their Payment, such liabilities are treated as:

(A) Never paid
(B) Fully paid
(C) Partly paid
(D) None of these

Aug 27, 2022 at 08:00 AM

Multiple Choice

VVI

Verified

ID- 4659

35. Amount realised from the sale of assets is recorded in:

(A) Debit side of Realisation Account
(B) Credit side of Realisation Account
(C) Liabilities side of Balance Sheet
(D) Assets side of Balance Sheet

Aug 27, 2022 at 08:00 AM

Multiple Choice

Verified

ID- 4660

BSEB, 2017, 19

36. Sundry creditors amounted to ₹ 8,000. They were paid at a discount of 5%. Realization Account will be debited by:

(A) 8,000
(B) 7,600
(C) 400
(D) 8,400

Aug 27, 2022 at 08:00 AM

Multiple Choice

VVI

Verified

ID- 4661

37. On dissolution of the firm, Partner's Capital Account is closed through:

(A) Realisation Account
(B) Drawings Account
(C) Bank Account
(D) Loan Account

Aug 27, 2022 at 08:00 AM

Multiple Choice

VVI

Verified

ID- 4662

38. Which of the following is not transferred to Realisation account?

(A) Balance of Cash Account
(B) Balance of Reserves
(C) Balance of Profit and Loss Account
(D) All of the above

Aug 27, 2022 at 08:00 AM

Multiple Choice

VVI

Verified

ID- 4663

39. On dissolution, when a partner takes over an asset ............. is debited.

(A) Realisation Account
(B) Partner's Capital Account
(C) Cash Account
(D) Assets Account

Aug 27, 2022 at 07:59 AM

Multiple Choice

VVI

Verified

ID- 4664

40. Liability not appearing in the balance sheet but paid at the time of dissolution of a firm is called:

(A) Outstanding Expenses
(B) Bills payable
(C) Unrecorded Liability
(D) Prepaid expenses

Aug 27, 2022 at 07:59 AM

Dissolution of Partnership Firm

Board » Bihar Board » Class 12th » English Medium » Commerce » Accountancy » L-8: Dissolution of Partnership Firm

Objective Questions (MCQs)

1. A firm can be voluntarily dissolved by the partners:

2. Expenses on the dissolution of a firm are called:

3. On dissolution of a firm partner's Loan A/c is transferred to:

4. When a partner taxes responsibility to make payment of any outside liability of the firm, the account credited will be:

5. At the time of dissolution of the firm book value of assets is recorded on which side of the Realisation Account?

6. Payment of credit balance of partners' capital accounts at the time of dissolution of a firm is made to:

7. On dissolution of a firm, the amount realized from an unrecorded asset is credited to:

8. Realisation expenses are recorded on which side of Realisation A/c:

9. Unrecorded assets when taken over by a partner are shown in:

10. Which of the following is correct profit or loss in case the amount received from the sale of assets is ₹ 50,000, total assets are ₹ 60,000, total liabilities ₹ 20,000, and realization expenses ₹ 2,000?

11. Cash balance shown in the balance sheet is shown on the dissolution of the firm in:

12. When realisation expenses are paid by the firm on behalf of a partner, such expenses are debited to:

13. Realisation Account is a:

14. On dissolution of a firm, a partner paid ₹ 1,500 for the firm's realisation expenses. Which account will be debited?

15. In the event of dissolution of a partnership firm, the provision for doubtful debts is transferred to:

16. On taking responsibility for payment of liability of ₹ 20,000 by a partner, the account credited will be:

17. On dissolution of a firm, Bank overdraft is transferred to:

18. On dissolution of a firm, loss on realisation account is debited to which account?

19. There was an unrecorded asset of ₹ 12,000 which was taken over by a partner at ₹ 10,500. Partner's capital account will be debited by:

20. Which of the following is transferred to Realisation Account?

21. At the time of dissolution of the partnership firm, fictitious assets are transferred to:

22. What will be the total assets (except cash) of the firm from the following (if) creditor ₹ 15,000, Partner's Loan ₹ 10,000 Partner's Capital 40,000 Cash in hand ₹ 5,000

23. On the firm's dissolution, which one of the following accounts should be prepared at the last?

24. If the total assets are ₹ 3,25,000 and the total outside liabilities ₹ 45,000 then the amount of all partner's capital will be:

25. On dissolution of a firm, the Partner's Loan Account is transferred to:

26. On dissolution of a firm, realisation account is debited with:

27. On dissolution of a firm, out of the proceeds received from the sale of assets will be paid first of all to:

28. Insolvency of a partner adjudicated by the court will come under which type of dissolution of a firm?

29. Profit/loss on Realisation Account is distributed among partners:

30. On dissolution, if a partner undertakes to make payment of a liability of the firm, the account to be debited is:

31. On taking responsibility for payment of realisation expenses by a partner, the account credited will be:

32. At the time of the firm's dissolution, the Balance of General Reserve shown in the Balance Sheet is credited to:

33. Unrecorded liabilities when paid are shown in:

34. After transferring liabilities like creditors and bills payable in the Realisation Account in the absence of any information regarding their Payment, such liabilities are treated as:

35. Amount realised from the sale of assets is recorded in:

36. Sundry creditors amounted to ₹ 8,000. They were paid at a discount of 5%. Realization Account will be debited by:

37. On dissolution of the firm, Partner's Capital Account is closed through:

38. Which of the following is not transferred to Realisation account?

39. On dissolution, when a partner takes over an asset ............. is debited.

40. Liability not appearing in the balance sheet but paid at the time of dissolution of a firm is called: