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Which item is shown in the Profit and Loss Account and not in the Profit and Loss Appropriation Account?

Answer and explanation

Correct answer: Interest on partner's loan

Interest on partner's loan is a finance expense of the firm. It goes to Profit and Loss Account before calculating profit.

Related tags

PartnershipPartner LoanPl AccountAdjustmentsPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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