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Ram ratan sold goods to ahmed for ₹100000 on 30th june 2017 for which latter accepts 4 bills of ₹25000 each drawn on him payable after 2,4,6,8 months respectively. Ram ratan retained the first bill .The second bill was sent by him for collection. The third bill was endorsed by him to C in Part payment of ₹40000 owed to him .The fourth bill was discounted by him with his bankers at discount of 15%p.a. The first bill was met on due date .The first bill was met on due date .As regards second bill ,Ahmed met Ram Ratan two days before maturity date of bill and paid him ₹10000 and accepted a fresh bill for 30 days for balance with interest 18% p.a.This bill as well as the third bill were met by drawer.
ahmed was declared insolvent on 31 st December 2017 and on fourth bill becoming due, bank debited Ram ratan with amount of bill and changes of ₹2500 .It is ascertained by Ram ratan that estate of ahmed will not be in a position to meet liabilities to extent of of more than 40%?
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Ram ratan sold goods to ahmed for ₹100000 on 30th june 2017 for which ...
Transaction Overview
Ram Ratan sold goods to Ahmed for ₹100,000 on June 30, 2017, and received four bills of ₹25,000 each, payable at 2, 4, 6, and 8 months.
Bill Transactions
  • First Bill: Retained by Ram Ratan; met on due date.
  • Second Bill: Sent for collection; Ahmed paid ₹10,000 two days before maturity and accepted a fresh bill for the balance with 18% interest.
  • Third Bill: Endorsed to C as part payment for ₹40,000 owed to him; met by Ahmed.
  • Fourth Bill: Discounted with the bank at 15% p.a.; bank debited Ram Ratan when Ahmed became insolvent.


Implications of Ahmed’s Insolvency
On December 31, 2017, Ahmed was declared insolvent. The fourth bill was due, and the bank debited Ram Ratan with the bill amount and charges of ₹2,500.
Recovery from Ahmed's Estate
It is estimated that Ahmed’s estate can only cover 40% of liabilities. Therefore, Ram Ratan can expect to recover only 40% of the fourth bill amount.
Final Financial Position
  • First Bill: Fully recovered ₹25,000.
  • Second Bill: ₹10,000 paid, fresh bill accepted.
  • Third Bill: Fully recovered through endorsement.
  • Fourth Bill: Bank debited full amount; expected recovery is only 40% of the bill amount.


In conclusion, Ram Ratan needs to calculate the total expected recovery from Ahmed's estate and manage the financial implications of the insolvency.
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Ram ratan sold goods to ahmed for ₹100000 on 30th june 2017 for which latter accepts 4 bills of ₹25000 each drawn on him payable after 2,4,6,8 months respectively. Ram ratan retained the first bill .The second bill was sent by him for collection. The third bill was endorsed by him to C in Part payment of ₹40000 owed to him .The fourth bill was discounted by him with his bankers at discount of 15%p.a. The first bill was met on due date .The first bill was met on due date .As regards second bill ,Ahmed met Ram Ratan two days before maturity date of bill and paid him ₹10000 and accepted a fresh bill for 30 days for balance with interest 18% p.a.This bill as well as the third bill were met by drawer.ahmed was declared insolvent on 31 st December 2017 and on fourth bill becoming due, bank debited Ram ratan with amount of bill and changes of ₹2500 .It is ascertained by Ram ratan that estate of ahmed will not be in a position to meet liabilities to extent of of more than 40%?
Question Description
Ram ratan sold goods to ahmed for ₹100000 on 30th june 2017 for which latter accepts 4 bills of ₹25000 each drawn on him payable after 2,4,6,8 months respectively. Ram ratan retained the first bill .The second bill was sent by him for collection. The third bill was endorsed by him to C in Part payment of ₹40000 owed to him .The fourth bill was discounted by him with his bankers at discount of 15%p.a. The first bill was met on due date .The first bill was met on due date .As regards second bill ,Ahmed met Ram Ratan two days before maturity date of bill and paid him ₹10000 and accepted a fresh bill for 30 days for balance with interest 18% p.a.This bill as well as the third bill were met by drawer.ahmed was declared insolvent on 31 st December 2017 and on fourth bill becoming due, bank debited Ram ratan with amount of bill and changes of ₹2500 .It is ascertained by Ram ratan that estate of ahmed will not be in a position to meet liabilities to extent of of more than 40%? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about Ram ratan sold goods to ahmed for ₹100000 on 30th june 2017 for which latter accepts 4 bills of ₹25000 each drawn on him payable after 2,4,6,8 months respectively. Ram ratan retained the first bill .The second bill was sent by him for collection. The third bill was endorsed by him to C in Part payment of ₹40000 owed to him .The fourth bill was discounted by him with his bankers at discount of 15%p.a. The first bill was met on due date .The first bill was met on due date .As regards second bill ,Ahmed met Ram Ratan two days before maturity date of bill and paid him ₹10000 and accepted a fresh bill for 30 days for balance with interest 18% p.a.This bill as well as the third bill were met by drawer.ahmed was declared insolvent on 31 st December 2017 and on fourth bill becoming due, bank debited Ram ratan with amount of bill and changes of ₹2500 .It is ascertained by Ram ratan that estate of ahmed will not be in a position to meet liabilities to extent of of more than 40%? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Ram ratan sold goods to ahmed for ₹100000 on 30th june 2017 for which latter accepts 4 bills of ₹25000 each drawn on him payable after 2,4,6,8 months respectively. Ram ratan retained the first bill .The second bill was sent by him for collection. The third bill was endorsed by him to C in Part payment of ₹40000 owed to him .The fourth bill was discounted by him with his bankers at discount of 15%p.a. The first bill was met on due date .The first bill was met on due date .As regards second bill ,Ahmed met Ram Ratan two days before maturity date of bill and paid him ₹10000 and accepted a fresh bill for 30 days for balance with interest 18% p.a.This bill as well as the third bill were met by drawer.ahmed was declared insolvent on 31 st December 2017 and on fourth bill becoming due, bank debited Ram ratan with amount of bill and changes of ₹2500 .It is ascertained by Ram ratan that estate of ahmed will not be in a position to meet liabilities to extent of of more than 40%?.
Solutions for Ram ratan sold goods to ahmed for ₹100000 on 30th june 2017 for which latter accepts 4 bills of ₹25000 each drawn on him payable after 2,4,6,8 months respectively. Ram ratan retained the first bill .The second bill was sent by him for collection. The third bill was endorsed by him to C in Part payment of ₹40000 owed to him .The fourth bill was discounted by him with his bankers at discount of 15%p.a. The first bill was met on due date .The first bill was met on due date .As regards second bill ,Ahmed met Ram Ratan two days before maturity date of bill and paid him ₹10000 and accepted a fresh bill for 30 days for balance with interest 18% p.a.This bill as well as the third bill were met by drawer.ahmed was declared insolvent on 31 st December 2017 and on fourth bill becoming due, bank debited Ram ratan with amount of bill and changes of ₹2500 .It is ascertained by Ram ratan that estate of ahmed will not be in a position to meet liabilities to extent of of more than 40%? in English & in Hindi are available as part of our courses for CA Foundation. Download more important topics, notes, lectures and mock test series for CA Foundation Exam by signing up for free.
Here you can find the meaning of Ram ratan sold goods to ahmed for ₹100000 on 30th june 2017 for which latter accepts 4 bills of ₹25000 each drawn on him payable after 2,4,6,8 months respectively. Ram ratan retained the first bill .The second bill was sent by him for collection. The third bill was endorsed by him to C in Part payment of ₹40000 owed to him .The fourth bill was discounted by him with his bankers at discount of 15%p.a. The first bill was met on due date .The first bill was met on due date .As regards second bill ,Ahmed met Ram Ratan two days before maturity date of bill and paid him ₹10000 and accepted a fresh bill for 30 days for balance with interest 18% p.a.This bill as well as the third bill were met by drawer.ahmed was declared insolvent on 31 st December 2017 and on fourth bill becoming due, bank debited Ram ratan with amount of bill and changes of ₹2500 .It is ascertained by Ram ratan that estate of ahmed will not be in a position to meet liabilities to extent of of more than 40%? defined & explained in the simplest way possible. Besides giving the explanation of Ram ratan sold goods to ahmed for ₹100000 on 30th june 2017 for which latter accepts 4 bills of ₹25000 each drawn on him payable after 2,4,6,8 months respectively. Ram ratan retained the first bill .The second bill was sent by him for collection. The third bill was endorsed by him to C in Part payment of ₹40000 owed to him .The fourth bill was discounted by him with his bankers at discount of 15%p.a. The first bill was met on due date .The first bill was met on due date .As regards second bill ,Ahmed met Ram Ratan two days before maturity date of bill and paid him ₹10000 and accepted a fresh bill for 30 days for balance with interest 18% p.a.This bill as well as the third bill were met by drawer.ahmed was declared insolvent on 31 st December 2017 and on fourth bill becoming due, bank debited Ram ratan with amount of bill and changes of ₹2500 .It is ascertained by Ram ratan that estate of ahmed will not be in a position to meet liabilities to extent of of more than 40%?, a detailed solution for Ram ratan sold goods to ahmed for ₹100000 on 30th june 2017 for which latter accepts 4 bills of ₹25000 each drawn on him payable after 2,4,6,8 months respectively. Ram ratan retained the first bill .The second bill was sent by him for collection. The third bill was endorsed by him to C in Part payment of ₹40000 owed to him .The fourth bill was discounted by him with his bankers at discount of 15%p.a. The first bill was met on due date .The first bill was met on due date .As regards second bill ,Ahmed met Ram Ratan two days before maturity date of bill and paid him ₹10000 and accepted a fresh bill for 30 days for balance with interest 18% p.a.This bill as well as the third bill were met by drawer.ahmed was declared insolvent on 31 st December 2017 and on fourth bill becoming due, bank debited Ram ratan with amount of bill and changes of ₹2500 .It is ascertained by Ram ratan that estate of ahmed will not be in a position to meet liabilities to extent of of more than 40%? has been provided alongside types of Ram ratan sold goods to ahmed for ₹100000 on 30th june 2017 for which latter accepts 4 bills of ₹25000 each drawn on him payable after 2,4,6,8 months respectively. Ram ratan retained the first bill .The second bill was sent by him for collection. The third bill was endorsed by him to C in Part payment of ₹40000 owed to him .The fourth bill was discounted by him with his bankers at discount of 15%p.a. The first bill was met on due date .The first bill was met on due date .As regards second bill ,Ahmed met Ram Ratan two days before maturity date of bill and paid him ₹10000 and accepted a fresh bill for 30 days for balance with interest 18% p.a.This bill as well as the third bill were met by drawer.ahmed was declared insolvent on 31 st December 2017 and on fourth bill becoming due, bank debited Ram ratan with amount of bill and changes of ₹2500 .It is ascertained by Ram ratan that estate of ahmed will not be in a position to meet liabilities to extent of of more than 40%? theory, EduRev gives you an ample number of questions to practice Ram ratan sold goods to ahmed for ₹100000 on 30th june 2017 for which latter accepts 4 bills of ₹25000 each drawn on him payable after 2,4,6,8 months respectively. Ram ratan retained the first bill .The second bill was sent by him for collection. The third bill was endorsed by him to C in Part payment of ₹40000 owed to him .The fourth bill was discounted by him with his bankers at discount of 15%p.a. The first bill was met on due date .The first bill was met on due date .As regards second bill ,Ahmed met Ram Ratan two days before maturity date of bill and paid him ₹10000 and accepted a fresh bill for 30 days for balance with interest 18% p.a.This bill as well as the third bill were met by drawer.ahmed was declared insolvent on 31 st December 2017 and on fourth bill becoming due, bank debited Ram ratan with amount of bill and changes of ₹2500 .It is ascertained by Ram ratan that estate of ahmed will not be in a position to meet liabilities to extent of of more than 40%? tests, examples and also practice CA Foundation tests.
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