Which of the following item is deducted for a sum due to a legal representative of a deceased partner?
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → His/her drawings upto the date of his death
The amount due to a deceased partner (paid to his legal representatives) is worked out in his capital account. Everything the firm owes him is added, and everything he has already taken or owes the firm is deducted. Drawings are amounts he has already withdrawn against his share, so his drawings up to the date of death are deducted.
Why the other options are incorrect
Option (1) Credit balance of his/her capital account — Incorrect. The credit balance of capital is what the firm owes him, so it is added, not deducted.
Option (3) Credit balance of his/her current account — Incorrect. A credit balance in the current account is also an amount due to him and is added. Only a debit balance of the current account is deducted.
Option (4) His/her share in the gain of revaluation of assets and liabilities — Incorrect. A gain on revaluation increases what he is owed, so his share is added. Only his share of a loss on revaluation is deducted.
NCERT (2026-27 edition):
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