Question : If goodwill is withdrawn which account will be credited
Option 1: Cash account
Option 2: Goodwill account
Option 3: Old partner's capital account
Option 4: None of these
Correct Answer: Cash account
Solution : Answer = Cash account If partners decide to withdraw the amount of goodwill in cash. Their cash account will be credited and partners' capital account will be debited. Hence, the correct option is 1.
Question : In the case of fixed capital, interest on capital
Question : When a partner pays unrecorded liability is --------------------debited and concerned ------------------------is credited.
Question : Investment fluctuating reserve will be transferred to ----------------account at the time of dissolution.
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