Advertisement Remove all ads

Expenses of Joint Venture Business Are Debited to ______. - Book Keeping and Accountancy

MCQ

Expenses of Joint Venture business are debited to ______.

Options

  • Joint Bank A/c

  •  Joint Venture A/c
  • Co-Venturers’ A/c

  • Debentures A/c

Advertisement Remove all ads

Solution

Expenses of Joint Venture business are debited to Joint Venture Account.

Explanation:

Joint Venture Account is prepared to ascertain the profit or loss of the joint venture. All the expenses of the joint venture (such as purchase of goods, carriage, freight, etc) are debited to this account while all the incomes and gains (such as sale proceeds, unsold goods taken by co-venturer) are credited to this account.

Hence, the correct answer is option (b).

Concept: Meaning and Definitions of Partnership and Partnership Deed
  Is there an error in this question or solution?
Advertisement Remove all ads

APPEARS IN

Advertisement Remove all ads
Advertisement Remove all ads
Share
Notifications

View all notifications


      Forgot password?
View in app×