Which account will be debited, in case new partner is unable to bring his/her share of goodwill in cash? |
All Partners' Capital A/c New Partners' Loan A/c New Partners' Current A/c All Partners' Current A/c |
New Partners' Current A/c |
The correct answer is option 3- New Partners' Current A/c New Partners' Current A/c will be debited, in case new partner is unable to bring his/her share of goodwill in cash.
Sometimes the new partner brings part of premium for goodwill in cash. In such a situation, new partners current account will be debited by the amount not brought by new partner. |