Question

: Which account is prepared for revaluation of assets and liabilities , when revised figures are not recorded in the books of partnership firm ?​

Answer 1

Revaluation Account and Memorandum Revaluation Account

Explanation:

Assets and liabilities must be revalued to their present market value in a relationship to which a new partner is added or where an existing partner dies or retires. In the revaluation account, the discrepancies between historical values and revaluations are debited or credited.

The Memorandum Revaluation Account is opened instead of the Revaluation Account if changed values are not to be reported in the books and if the partners agree to display the assets and liabilities in the current balance sheet at their old figures.

Answer 2

Answer:

Revaluation account

Explanation:

Revaluation account is prepared for revaluation of assets and liabilities , when revised figures are not recorded in the books of partnership firm.

A Revaluation Account is prepared to adjust overall gain or loss, upon the revaluation of assets and liabilities of a partnership. It is also used to register previously unrecorded items in records. Once Revaluation profit or loss is determined, it is distributed among all the partners in respective ratios