Partnership Accounts in Class 12: Test Your Knowledge

Choose a study mode

Play Quiz

Study Flashcards

Spaced Repetition

Chat to Lesson

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

In a partnership, which type of account represents the personal account of the partners?

Capital account (correct)
Purchase account
Sales account
Cash account

When preparing a partnership balance sheet, where would the partners' current accounts be shown?

Assets side
Expenditure side
Liabilities side (correct)
Income side

What happens when a partner's share of profits is higher than their current account balance in a partnership?

They will receive a bonus from the partnership (correct)
They will owe the partnership money
Their capital account will be debited
Their current account will be credited

Flashcards are hidden until you start studying

Study Notes

In a partnership, which type of account represents the personal account of the partners? When preparing a partnership balance sheet, where would the partners' current accounts be shown? What happens when a partner's share of profits is higher than their current account balance in a partnership?