Question

In case of admission of a partner, the profit or loss on revaluation of assets and liabilities is shared by ________ partners. (Fill in the blank by choosing correct option)
a) all
b) old
c) new
d) none of these

Answer 1

Heya user ✨✨

⏩In case of admission of a partner the profit or loss on revaluation of Assets and liability is shared by new partner.

Answer 2

In case of admission of a partner, the profit or loss on revaluation of assets and liabilities is shared by old partners.

* Revaluation is necessary as there may be some changes in the value of the assets and liabilities that need to be adjusted amongst the existing partners.

* Any additiinal profit or loss is also distributed in the respective ratio amongst the partners.