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A partner contributed a personal building as capital with book value forty thousand rupees and agreed value forty five thousand rupees. What amount will be credited to capital account?

Answer and explanation

Correct answer: Forty five thousand rupees

Capital contribution is recorded at agreed value. Therefore partners capital account will be credited by forty five thousand rupees.

Related tags

Asset ContributionAgreed ValueCapital AccountCapital AccountsPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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