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As capital account is Rs 220000 credit and current account is Rs 18000 debit. If the firm also separately owes A a loan of Rs 20000 what is total liability towards A?

Answer and explanation

Correct answer: Rs 222000

After deducting current debit from capital claim the amount is Rs 202000. Adding separate loan of Rs 20000 gives total liability Rs 222000.

Related tags

Capital AccountCurrent AccountPartner LoanCapital AccountsPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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