Question

An amount received from the Insurance Company against the joint life policy is ________. (Fill in the blank by choosing correct option)
(a) debited to deceased partner
(d) credited to deceased partner
(c) credited to continuing partners capital a/c
(d) credited to all partners capital a/c in their profit sharing ratio.

Answer 1

HEY....

BIS THE ANSWER.....

MAYBE IT HELPS 4 U....

Answer 2

Answer:

(d) credited to all partners capital a/c in their profit sharing ratio.

Explanation:

An amount received from the Insurance Company against the joint life policy is credited to all partners capital a/c in their profit sharing ratio.

Joint life policy is an insurance policy that a company has bought on all partners common lives. It's the company's asset in this way. So each partner, including the deceased partner, is as entitled to it as the other continuing partners. Therefore, the sum earned by the insurance company against the joint family policy shall be credited upon the death of any partner to all partners capital a/c in their profit sharing ratio.