A, B and C decide to dissolve their partnership on December 31, 2017 on which date the Balance Sheet of the firm stood as follows:In order to give effect to the above decision, draw up the Realization Account, Partners’ Capital Accounts and the Cash Book after taking the following into consideration:

(a) Profits had been shared amongst A, B and C as 3:2:1.

(b) A agreed to take over part of the business for which he agreed to pay ₹37,500 for goodwill together with half of the plant and machinery and the stock, for which he agreed to pay ₹1,12,500 and ₹60,000 respectively.

(c) The balance of the plant and machinery was sold for ₹75,000 and of the stock for ₹30,000.

(d) Sundry debtors realized ₹84,750

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Capital - A Capital - B Capital - C Loan Account A Sundry Creditors Bank overdraft Liabilities ₹ 75,000 Plant and Machinery 52,500 Stock 22,500 Sundry Debtors 75,000 67,500 1,12,500 4,05,000 Assets ₹ 2,02,500 1,12,500 90,000 4,05,000