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Under fixed capital method As capital account is Rs 200000 credit current account is Rs 18000 debit and the firm has a separate loan of Rs 30000 from A. What is the total net liability towards A?

Answer and explanation

Correct answer: Rs 212000

Deduct the debit current balance from capital to get Rs 182000 and add the separate loan to get Rs 212000. Identify loan and capital separately.

Related tags

Fixed CapitalCurrent AccountPartner LoanCapital AccountsPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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