Question : Which one of the following items cannot be recorded in the profit and loss appropriation account?
Option 1: Interest on capital
Option 2: Interest on drawing
Option 3: Rent paid to partner
Option 4: Partner's salary
Correct Answer: Rent paid to partner
Solution : Rent paid to the partner will enter in profit and loss account debit side because it is consider as charge against profit according to firm point of view. Hence, option 3 is the correct answer.
Question : Which of the following items is not dealt with through a Profit and Loss Appropriation Account?
Question : Which one of the following items will not come in the Profit and Loss Appropriation Account?
Question : Pick the odd one out of the following:
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