Unrecorded liability will be shown in:a)Credit side of Realisation A/cb)Debit side of partners’ capital A/cc)Debit side of Realisation A/cd)Debit side of cash A/cCorrect answer is option 'C'. Can you explain this answer?

Question

Unrecorded liability will be shown in:a)Credit side of Realisation A/cb)Debit side of partners&rsquo; capital A/cc)Debit side of Realisation A/cd)Debit side of cash A/cCorrect answer is option 'C'. Can you explain this answer?

Answer

Unrecorded liabilities are those liabilities that are not shown in the Balance Sheet but they still exist in the business. Although these liabilities are not shown in the books, they still need to the discharged off at the time of dissolution and hence are debited to the Realisation account.

Answer

' capital accountsc)Credit side of partners' capital accountsd)Debit side of Realisation A/c

Answer: d) Debit side of Realisation A/c

Explanation: Unrecorded liabilities are those liabilities that have not been recorded in the books of accounts of the firm. These liabilities are discovered only at the time of dissolution of the firm. Therefore, they are shown on the debit side of the Realisation A/c because they are to be paid out of the assets realized during the dissolution process.

Answer

Unrecorded liability is shown on debit aide of realisation A/C as it has nominal nature that is debit all expenses and credit all incomes.Unrecorded liability is an expense

Answer

Yes as payment is made to bank therefore it will show in realization account

Answer

All unrecorded liabilities shown in the debit side of realisation a/c because liabilities is expenses .

Answer

CORRECT ANSWER IS  'C' .

Answer

Unrecorded liability will be show in the debit column of realisation account because at the time of realisation all assets are sold and all liabilities are settled. When assest are sold, it means they are decreasing, hence it will be shown on credit side; opposite with liabilities, when they are settled, means liabilities are decreasing, hence shown in debit side. *Note*:- when question is silent about a particular asset, means its value is 0 and it will not be shown anywhere; when question is silent about a particular liability, means it has been paid and hence will be shown on debit side of realisation account.

Answer

All the liabilities is expenses .

Answer

Ans: Option'C' is correct because-- Sometimes, there may be some liabilities that have already been existed in previous years but do not appear in the Balance Sheet, these are called Unrecorded Liabilities. but they exist and they are there. so when they are recognised at the time of DISSOLUTION , then these unrecorded liabilities should be DEBITED to Realisation Account. These are liabilities to the business and when paid , they decrease , and debited.

Answer

It will not be shown in realisation account

Similar Commerce Doubts

Unrecorded asset when realised (in cash) will be _________

Treatment of General Reserve at the time of retirement is

Top Courses for CommerceView all

Chapter Notes for Commerce

Economics Class 12

Economics Class 11

NCERT Books & Solutions for Commerce

Economics for CBSE Class 12 Board Examinations

Top Courses for Commerce

Top Courses for Commerce

Related Content

Commerce Courses

Other Courses

How To Prepare?

Related Exams

Company