Practicing Success
Practicing Success
CUET Preparation Today
A, B & C are partners sharing profits in the ratio of 5:4:1. Their capital accounts showing balance of ₹300000, ₹150000, ₹150000 respectively. It is decided between partners that they will share future profits equally. Firm has the following information- |
The salary payable of ₹10000 is not payable as the employee left the firm without any notice. How it will be treated by the firm? |
Debit side of revaluation account Credit side of Partner's Capital A/c Credit side of revaluation account Debit side of Partner's Capital A/c |
Credit side of revaluation account |
Salary not payable by the firm means it is gain for the firm so the journal entry will be- Salary payable Dr. To Revaluation A/c So, it is written on the credit side of revaluation account. |
