Question

which of the following will continue to appear in the balance sheet after the admission of a new partner in net effect method.​

Answer 1

Answer:

Heya mate your answer is----------------------------------------------------

In case of admission of a new partner, we need to transfer the reserves or accumulated profits and losses in the balance sheet to the old partners capital accounts.

Since all reserves showing in the balance sheet on the date of admission are earned by old partners. Therefore, we transfer them to old partners capital accounts in the old profit sharing ratio.