Question

On the death of a partner, his share in the profits of the firm till the date of his death is transferred to the ______

पर्याय

• Debit of Profit and Loss Account.

• Credit of Profit and Loss Account.

• Debit of Profit and Loss Suspense Account.

• Credit of Profit and Loss Suspense Account.

Answer 1

 

On the death of a partner, his share in the profits of the firm till the date of his death is transferred to the Debit of Profit and Loss Suspense Account.

Explanation:

When a partner dies, his portion of the firm's profits up to the date of his death is moved to the profit and loss suspense account.