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If a partner is to receive fixed remuneration for dissolution work, on which side will it be recorded?

Answer and explanation

Correct answer: Credit side of his capital account

Remuneration is income of the partner, so it is credited to his capital account. Treat it separately from expense payment.

Related tags

Partner RemunerationCredit SideDissolutionPartner AccountsDissolution Of A Partnership FirmAccountancyClass 12 Mcq

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