Upon dissolution, which is the proper order for application of the Firm's assets? I. Payment of Debts & Liabilities of the Firm II. Payment of Partner's Loan III. Payment of Partner's Capital IV. Distribution of Surplus to Partners in their Profit Sharing Ratio.
A
I, II, IV, III
B
I, II, III, IV
C
II, III, IV, I
D
IV, II, III, I.
Open in App
Solution
Verified by Toppr
Correct option is A. I, II, III, IV
Was this answer helpful?
0
Similar Questions
Q1
Upon dissolution, which is the proper order for application of the Firm's assets? I. Payment of Debts & Liabilities of the Firm II. Payment of Partner's Loan III. Payment of Partner's Capital IV. Distribution of Surplus to Partners in their Profit Sharing Ratio.
View Solution
Q2
Upon dissolution, which is the proper order for application of the firm assets 1.payment of partners loan 2. in paying the debt of the firm to third party 3. distribution of surplus to partners in profit sharing ratio 4. payment of partners capital
View Solution
Q3
Upon dissolution, which is the proper order for application of the Firm's assets? I. Payment of partners loan II. In paying the debts of the firm to third parties III. Distribution of surplus to partners in profit sharing ratio IV. Payment of partners capital Select the correct answer from the options given.
View Solution
Q4
Upon dissolution, the firm's assets shall be first applied in paying the debts of the firm to third parties, shall thereafter be applied in payment of partners loan, shall then be applied in payment of partners capital and still surplus remains it should used for _________.
View Solution
Q5
Upon dissolution, the firm's assets shall be first applied in paying the debts of the firm to third parties, thereafter it shall be applied in payment of partners' loan, then it shall be applied in payment of partners' capital and if still surplus remains, it should used for___.