A retiring partner will be entitled to the following:
A. Credit balance of his capital account
B. Credit balance of his current account
C. His share of goodwill
D. No share in the accumulated profits
E. His share in the gain on revaluation of assets and liabilities
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 3
The correct answer is Option (3) → A, B, C and E only
A. Credit balance of his capital account — True. It is paid to him.
B. Credit balance of his current account — True. It is also due to him.
C. His share of goodwill — True. The gaining partners compensate him for it.
D. No share in the accumulated profits — False. He is entitled to his share of accumulated profits (reserves).
E. His share in the gain on revaluation of assets and liabilities — True. Revaluation profit is shared by all the old partners.
NCERT (2026-27 edition):
|
