Practicing Success

Target Exam

CUET

Subject

Accountancy

Chapter

Reconstitution of Partnership Firm: Retirement and Death

Question:
The amount due to the deceased partner is paid to his:
Options:
Executor
Wife
Father
Any of the family Member with the consent of all the family members.
Correct Answer:
Executor
Explanation:
It may noted that the accounting treatment for disposal of amount due to retiring partner and deceased partner is similar with a difference that in case of death of a partner, the amount credited to him/her is transferred to his Executors’ Account and the payment has to be made to him/her.