Practicing Success

Target Exam

CUET

Subject

Accountancy

Chapter

Dissolution of Partnership Firm

Question:

There was an Unrecorded asset of 5,000 which was taken over by a partner at 2,500. Partner's Capital Account will be debited by...........

Options:

₹2500

₹5000

₹7500

None of the above

Correct Answer:

₹2500

Explanation:

For an asset taken over by a partner
Partner’s Capital A/c Dr. 2,500
To Realisation A/c 2,500
As it means partners capital account is reduced by this amount.