Advertisements
Advertisements
Question
Write the word/term or phrase which can substitute the following statement.
Profit and Loss Account appearing on the asset side of a balance sheet.
One Word/Term Answer
Advertisements
Solution
Profit & Loss Account (Debit balance) or undistributed losses
Explanation: Profit and Loss Account appearing on the Assets side of a Balance Sheet represents debit balance in the Profit & Loss Account (i.e. undistributed losses). Such losses are to be borne by the old partners in their old profit sharing ratio.
shaalaa.com
Is there an error in this question or solution?
