On the death of a partner, the deceased partner's capital account will not be credited with :-
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → His/her interest on drawing
When a partner dies, his capital account is credited with everything the firm owes him up to the date of death and debited with everything he owes the firm. Interest on drawings is a charge on the partner, so it is debited, not credited, to his capital account.
Option (1) His/her share of goodwill — Credited to the deceased partner. He is entitled to his share of the goodwill of the firm.
Option (2) His/her salary/commission/bonus — Credited to the deceased partner. Salary or commission due up to the date of death is owed to him.
Option (3) His/her Interest on Capital — Credited to the deceased partner. Interest on capital up to the date of death is allowed to him.
NCERT (2026-27 edition):
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