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Why is a separate current account generally not prepared under fluctuating capital method?

Answer and explanation

Correct answer: Because all adjustments are made in capital account

Under fluctuating capital regular adjustments are recorded in capital account itself. So separate current account is generally not needed.

Related tags

Fluctuating CapitalCurrent AccountBasicsCapital AccountsPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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