Advertisements
Advertisements
Question
Answer in one Sentence :
How much amount due to the deceased partner is calculated?
Solution
The heir of the deceased partner is entitled to receive the amount standing to the credit of Deceased Partner’s Capital Account, his share in goodwill, share in profits, revaluation of assets and liabilities, interest on capital etc. Moreover, amounts, such as share in accumulated losses, drawings, interest on such drawings etc., are debited. After making all the above adjustments, the amount standing in his/her capital account is transferred to a new account opened in the name of his/her executor.
APPEARS IN
RELATED QUESTIONS
Answer in one sentence only.
Who is a retiring partner?
Answer in one sentence only.
How would you treat General Reserve on retirement of a partner?
Answer in one sentence only.
How is amount due to a retiring partner settled?
Write the term / word / phrase which can substitute the following statement :
The method under which amount payable to the retiring partner is paid off at a time.
State whether the following statements is true or false :
Retirement of a partner leads to dissolution of the firm unless otherwise agreed upon.
Answer in one Sentence :
How would you treat general reserve on death of a partner?
Answer in one Sentence :
How is a debit balance of profit and loss account dealt with on death of a partner?
Select the most appropriate answer from the alternatives given below :
M.N.S. are partners in a firm having joint life policy of Rs 10,00,000 on which premium has been paid by a firm. M dies and his legal representatives want the whole amount of the policy where as N & S want to distribute the amount among all the partners.
State whether the following statements is true or false :
An amount due to a deceased partner is transferred to his executor’s loan A/c.
State whether the following statements is true or false :
Total amount due to deceased partner is paid in cash to executor immediately after his death.
Write the various matters that need adjustments at the time of retirement of partner/partners.
Complete the sentence.
When a partner withdraws his capital from the partnership firm, it is called ______ of a partner.
Assertion (A): Retirement of partner is legal when done at will and with the consent of the other partners.
Reason (R): According to Section 32 (1) of the Indian Partnership Act, 1932, "a partner may retire from the firm with the consent of all the partners or at his will, by giving written notice to all the other partners of his intention to retire."
Retirement or death of a partner will create a situation for the continuing partners, which is known as ______
In the event of death of a partner, the amount of General Reserve is transferred to Partners' Capital Accounts in their ______.
As per Section 37 of the Indian Partnership Act, 1932, interest @ ______ is payable to the retiring partner if full or part of his dues remain unpaid.
What journal entry will be recorded for the deceased partner's share in profit from the closure of the last balance sheet till the date of his death?
