Correct Answer: Realization account

Solution : Answer = Realization account.

In the event of the dissolution of a partnership firm, the provision for doubtful debts is typically transferred to the Realization Account. This account records the disposal of assets and settlement of liabilities during the dissolution process. Provision for bad and doubtful debt on debtors is transferred to the credit side of the realization account under the head of current liabilities, but no payment was made for it.
Hence, the correct option is 1.