Target Exam

CUET

Subject

Accountancy

Chapter

Dissolution of Partnership Firm

Question:

Where will the Partner’s current accounts be transferred at the time of dissolution of partnership firm?

Options:

 Partner’s Loan account

 Partner’s Capital accounts

Realisation A/c

Bank A/c

Correct Answer:

 Partner’s Capital accounts

Explanation:

The current account (debit or credit) balance of partners is transferred to their capital account to close the current account and at last settle the capital account.