For settlement of a creditor by transfer of fixed assets to him, realisation account is ___
No entry
Not sure
credited
debited
For settlement of a creditor by transfer of fixed assets to him, realisation account - no entry is required.
In case a company does not have sufficient funds for the purchase of fixed assets or for payment to creditors it may offer and allot its shares to vendor/ creditors in lieu of cash. In such a case, which account is debited ?