CUET Preparation Today
On the admission of a new partner increase in the value of assets is debited to: |
Profit and Loss Adjustment account Assets account Revaluation Account Old partner's capital account |
Assets account |
The correct answer is Option (2) → Assets account Increase in an asset’s value is recorded as: Asset A/c Dr. → To Revaluation A/c (profit later goes to old partners). |
