At the time of retirement of a partner, loss on revaluation will be debited to the Capital Accounts of:
At the time of retirement of a partner, loss on revaluation will be debited to the Capital Accounts of:
a) retiring partner
b) all partners in their old profit-sharing ratio
c) the remaining partners in their old profit sharing ratio
d) the remaining partners in their new profit-sharing ratio.
Anurag Pathak Changed status to publish July 2, 2023
Ans – b)
Explanation:-
The increase and decrease in the value of assets and liabilities belong to the old partners in their old profit-sharing ratio. Thus loss on revaluation is debited to all the partners in their old profit sharing ratio.
Anurag Pathak Changed status to publish July 2, 2023
