The dissolution of a partnership firm typically follows a specific order to ensure an orderly settlement of financial matters. The correct order of dissolution is as follows:

C. All assets and outside liabilities are transferred to the Realisation Account: This is done to centralize all the assets and liabilities to facilitate the distribution of proceeds and the settlement of external liabilities.

E. Assets are sold and realized: After transferring assets and liabilities to the Realisation Account, the assets are sold, and the proceeds are realized.

A. Outsiders' liabilities are paid out: Using the proceeds from asset realization, external liabilities to outsiders are paid off.

D. Partners' loans are repaid in proportion: Partners' loan accounts are settled from the remaining funds, and the partners receive repayment in proportion to their respective loan balances.

B. Partners' capital accounts are settled: Finally, after all external liabilities and partners' loans are settled, the partners' capital accounts are adjusted based on their profit-sharing ratios, and any remaining funds are distributed among the partners.

So, the correct order is option 2: "C, E, A, D, B.