CUET Preparation Today
If, at the time of admission of a partner, any reserve and accumulated profits or losses exist in books of the firm, these should be transferred to: |
Old Partners’ Capital Accounts in Old Profit Sharing Ratio Admitted Partner’s Capital Account All Partners’ Capital Account in New Profit Sharing Ratio Old Partners’ Capital Accounts in Sacrificing Ratio |
Old Partners’ Capital Accounts in Old Profit Sharing Ratio |
The correct answer is Option (1) → Old Partners’ Capital Accounts in Old Profit Sharing Ratio |
