Question : The sum is debited from the___________account when a new partner fails to bring his share of goodwill in cash -
Option 1: Premium A/c
Option 2: Current A/c of the new partner
Option 3: Capital A/cs of the old partners
Option 4: Premium A/c
Correct Answer: Current A/c of the new partner
Solution : We must increase the goodwill amount in the books in cases where a partner does not contribute goodwill. As a result, goodwill will be charged against the new partner's current account, and capital accounts of sacrificial partners will be credited with the appropriate sacrificing ratio.
Hence the correct answer is option 2.
Question : When a new partner brings his share of goodwill in cash, the amount is debited to -
Question : How is goodwill recorded when a partner retires?
Question : What journal entry will be made to write off the goodwill that was already present in the balance sheet at the time of partner retired?
Question : Which of the following accounts are opened when partners have fixed capital?
Question : Which of the following accounts are opened when partners have fluctuating capital?
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