Assertion (A) : |
At the time of admission of a partner. Goodwill appearing in the existing balance sheet, will be Debited to old partners capital/current account in their old profit sharing ratio. |
Reason (R): |
Premium for goodwill brought by new partner will be credited to only sacrificing partners capital/current account. |
Choose the Correct Option from the following: |
A) Assertion and Reason both are correct and Reason is the correct explanation of assertion
B) Assertion and Reason both are correct but Reason is not correct explanation of assertion
C) Both Assertion and Reason are not correct
D) Only Assertion is correct
Correct Answer: B
Solution :
Assertion and Reason both are correct but Reason is not correct explanation of assertionYou need to login to perform this action.
You will be redirected in
3 sec