A kept Rs 50000 received from a firms customer directly in his personal account. In relation to capital account how should it be treated?

Correct answer: Debit As account or amount recoverable from A

The direct answer is option A: debit A’s account, or treat Rs 50000 as recoverable from A. The money was received from a firm customer, so it belongs to the firm. A did not introduce his own money; he took firm money into his personal account. Therefore the firm has a claim against A. The accounting effect is to debit A’s account for Rs 50000, showing that A owes this amount or that it must be recovered from him. If the amount is later returned, the recovery will be recorded separately. Option A is correct because it preserves the firm’s asset or receivable and charges the responsible partner. Option B is wrong because additional capital means the partner brings personal resources into the firm, whereas here firm money was taken away. Option C is wrong because salary requires an authorised remuneration arrangement and this receipt is not salary. Option D is wrong because the transaction does affect the firm: its cash or receivable has been diverted and must be recovered. Memory cue: firm money kept personally by a partner is debited to that partner, not credited as capital.