Capital account or Current account depending on the question…

Debit Amounts Credit Amounts
To Balance B/d (opening balance, if debit)

To Current A/c (debit balance)

To Accumulated Losses (his share)

To Goodwill( written off or adjusted)

To Drawings A/c

To Interest on Drawings A/c

To Asset A/c (asset taken over)

To Revaluation A/c (loss on revaluation)

To Deceased Partner’s Executor’s Loan A/c ( closing balance)

By Balance B/d (opening balance)

By Current A/c (credit balance)

By Accumulated Profits (his share)

By Profit and Loss Suspense A/c ( share of estimated profit)

By Goodwill( adjusted)

By Interest on Capital A/c

By Salary/Commission A/c (up to the date of death)

By Liability A/c (liability taken over)

By Revaluation A/c (profit on revaluation )

Dissolution of Partnership Firm

Check for More Posts in This Category