Question

What would be the journal entry for the Share of Profit or Loss after appropriation?

Options

• Profit and Loss Appropriation A/c Dr To Partner's Capital/Current A/c's (individually).

• Profit and Loss Adjustment A/c Dr To Partner's Capital/Current Ac's (individually).

• Can't say

• None of these

Answer 1

Profit and Loss Appropriation A/c Dr To Partner's Capital/Current A/c's (individually).

Explanation:

Appropriation for Profit and Loss A/c Dr To Partners' Capital/Current Accounts (individually), If Partners' Capital/Current Accounts Lose (individually) Dr To Appropriation of Profit and Loss A/c.