User talk:Amol0187

Garner Vs. Murray Rule:

This rule says that when a Partnership Firm is dissolved; then first of all all solvent partners should bring the realization loss in cash in their Profit Sharing Ratio. If the Partner is found Insolvent; Solvent partners should bear share of loss of realization of insolvent partner to be brought by him in their Profit Sharing Ratio.

Steps and accounting entries:

1. That the solvent partners should bring in cash equal to their respective shares of the loss on realization.

Dr- Cash Account Cr- Partners' Capital Account

2.