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Question : Kumar, Verma and Naresh were partners in a firm sharing profit & loss in the ratio of 3: 2: 2. On 23rd January 2015 Verma died. Verma's share of profit till the date of his death was calculated at Rs.2,350.

Option 1: Debited profit and loss suspense account By Rs 2,350

Option 2: Credited profit and loss account by Rs 2,350

Option 3: Debited profit and loss appropriation account Rs 2,350

Option 4: Credited profit an d loss appropriation account Rs 2,350


Team Careers360 1st Jan, 2024
Answer (1)
Team Careers360 13th Jan, 2024

Correct Answer: Debited profit and loss suspense account By Rs 2,350


Solution : Answer = Debited profit and loss suspense account By Rs 2350

Profit and loss suspense a/c Dr. 2350
To Verma's capital a/c 2350.
Hence, the correct option is 1.

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