The firm of Richpersons presented you with the following Balance Sheet drawn as at 31st March, 2017:

Partners shared profits and losses in the ratio of 4:3:3. Due to differences among the partners, it was decided to wind up the firm, realise the assets and distribute cash among the partners at the end of each month. The following realisations were made:

(i) May 2017 : ₹15,000 from debtors and ₹20,000 by sale of stock. Expenses on realisation were ₹500

(ii) June 2017 : Balance of debtors realised ₹10,000. Balance stock fetched ₹24,000.

(iii) August 2018 : Part of machinery was sold for ₹18,000. Expenses incidental to sale were ₹600.

(iv) September 2018 : Part of machinery valued in the books at ₹5,000 was taken by A in part discharge at an agreed value of ₹10,000. Balance of machinery was sold for ₹30,000 (net). Partners decided to keep a minimum cash balance of ₹2,000 in the first 3 months and ₹1,000 thereafter. Show how the amounts due to partners will be settled. All workings should form part of your answer.

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Sundry Creditors Partners' Capital A/cs: ABC Liabilities ₹ 37,000 Cash in hand Sundry Debtors 40,000 Stock-in-trade 30,000 27,000 1,34,000 Plant and Machinery B's Current Account C's Current Account Assets ₹ 3,000 34,000 39,000 51,000 4,000 3,000 1,34,000