Profit and Loss Suspense Account is debited at the time of death of partner _________

For the share of profit from the date of last Balance Sheet till the date of death of partner

The correct answer is option 2- For the share of profit from the date of last Balance Sheet till the date of death of partner.

To account for the deceased partner's share of profits and loss during the interim period in the company's financial records, the following journal entry is recorded:

FOR PROFIT-
Debit Profit and Loss Suspense Account and Credit Deceased Partner's Capital Account.
Subsequently, the Profit and Loss Suspense Account is reconciled by transferring its balance to the Gaining Partners' Capital Accounts based on their gaining ratio.

FOR LOSS-
Debit Deceased Partner's Capital Account and credit Profit and Loss Suspense Account.