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If As salary is credited in current account but not debited in Profit and Loss Appropriation Account what is the accounting problem?

Answer and explanation

Correct answer: Double effect is incomplete

Every adjustment must have double effect. Salary is credited to partners account and debited to appropriation account.

Related tags

Double EffectPartner SalaryAppropriationCapital AccountsPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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