Question

1. what is revaluation account or 2. what is profit and loss adjustment account

Answer 1

hii..
profit and loss adjustment account is same as revaluation account..u must have learnt about profit and loss..we derive net profit or net loss as the balancing figures.. once we have determined the amount of net profit or net loss, if an item is found which got omitted to be recorded in the profit and loss account. in that case we prepare profit and loss adjustment..

hope it clears all ur doubts.. 

Answer 2

Answer:

Profit and loss adjustment account is prepared to record those transaction or omissions and errors which were left while preparing the final accounts and they are found after the final accounts have been prepared and the profits distributed among the partners.