Accounting for Partnership Firms

In which Account Interest on Capital is written?

• Trading
• Profit and Loss
• Profit and Loss Appropriation

Interest on drawing is ___-

• Expense for Firm
• Income for Firm

Name the methods by which Capital Accounts Can be prepared

• Fixed
• Floating
• Both
• None

in dissolution, which account is prepared for finding profit or loss

• Revaluation account
• Realisation account
• dissolution account
• None

what will be entry for transferring assets to realisation account?

• Realisation Dr. to Assets
• Assets Dr. to Realisation

what will be entry for transferring liabilities to realisation account?

• Realisation Dr. to Liabilities
• Liabilities Dr. to Realisation

In the rule of Garner Vs Murray, Which of the statement is not correct

• The insolvency loss is borne by solvent partners in their capital ratio
• The insolvency loss is borne by solvent partners in their P&L ratio
• The Loss on account of realisation is bought by solvent partners in cash

if the dissolution is done by way of Indian Partnership Act, which of the following rule is followed?

• The insolvency loss is borne by solvent partners in their Profit and Loss ratio
• The insolvency loss is borne by solvent partners in their capital ratio
• The Loss on account of realisation is bought by solvent partners in cash

the balance of capital accounts in dissolution is settled against ?

• Cash Account
• Current Account
• Balance Sheet

What will be entry of payment of realisation expenses ?

• Realisation Dr. to Cash A/c
• Cash A/c Dr. to Realisation