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Answer» There is the following difference between Realisation Account and Revaluation Account | Basis of difference | Revaluation account | Realisation account | | Meaning | It records the effect of the revaluation of the revaluation of assets and liabilities. | It records the actual realisation of assets and settlement of all liabilities | | Time of preparation | It is prepared at the at the time of admission retirement and death of a panther. | It is prepared at the time of the dissolution of a firm | | Item to be recorded | in this accounts only the items that cause the change in the value of change of assets and liabilities are recorded. | In this account, all the items all assets and liabilities are recorded. | | Number of times | This may be prepared on a number of occasions during the lifetime of the firm | This is prepared only once at the time of the dissolution of the firm. | | Aim or objective | Its main objective is to make the necessary adjustments liabilities. | Its main objective is to determine the net profit /loss on a realisation of assets and settlement of liabilities |
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