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A and B are partners in a firm sharing profits in the ratio of 4 : 1 . They decided to share future profits in the ratio of 3 : 2 w.e.f. 1st April,2018 . On that day, Profit and Loss Account showed a debit balance of ₹ 1,00,000.Pass journal entry to give effect to the above. |
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Answer» n: Journal Date Particulars L.F. Debit Rs. Credit Rs. A's CAPITAL A/c DR. 80,000 B's Capital A/c Dr. 20,000 To Profit and LOSS A/c 1,00,000 (Being Profit and Loss distributed) |
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