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If a partner brings furniture into the firm as capital which account will be debited and which account will be credited?

Answer and explanation

Correct answer: Furniture account debit and partner capital account credit

Furniture comes into firm as an asset so it is debited. Partners capital increases so capital account is credited.

Related tags

Asset As CapitalFurnitureJournal EntryCapital AccountsPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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