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A B and C capitals are eighty thousand sixty thousand and forty thousand respectively. They must be maintained in the ratio three to two to one and total capital remains same. Whose capital needs no adjustment?

Answer and explanation

Correct answer: B

Total capital is one lakh eighty thousand and target capitals are ninety thousand sixty thousand and thirty thousand. B actual and target capital are equal.

Related tags

Three PartnersCapital AdjustmentRatioCapital AccountsPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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