Practicing Success
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 firm has an unrecorded car valued at ₹80,000 which is now accounted in the books. Pass the journal entry for its accounting. |
Car A/c Dr. ₹80,000 Revaluation A/c Dr. ₹80,000 Car A/c Dr. ₹80,000 Realisation A/c Dr. ₹80,000 |
Car A/c Dr. ₹80,000 |
The correct answer is option 3- Car A/c Dr. ₹80,000 Car is gain for the firm. It is an asset so its account is debited and revaluation A/c is credited. |