wiz-icon
MyQuestionIcon
MyQuestionIcon
2
You visited us 2 times! Enjoying our articles? Unlock Full Access!
Question

Write the word / term / phrase, which can substitute each of the following statements.

Conversion of assets into cash on dissolution of firm.

Open in App
Solution

Realisation

Explanation: The procedure of converting assets into cash at the time of dissolution of a firm is termed as realisation. In this procedure, Realisation Account is opened in order to determine the correct amount of profits or losses.

flag
Suggest Corrections
thumbs-up
0
Join BYJU'S Learning Program
similar_icon
Related Videos
thumbnail
lock
Shutting Down the Business
ACCOUNTANCY
Watch in App
Join BYJU'S Learning Program
CrossIcon