If partner salary is recorded in the profit and loss appropriation account but the deed has no salary clause, what is the correct correction?

Correct answer: Salary will be removed

A partner’s salary is an appropriation of profit, not an ordinary business expense, and it can be allowed only when the partnership deed authorises it. If the deed contains no salary clause, the partner has no contractual entitlement to that salary. Recording it in the Profit and Loss Appropriation Account is therefore an error and must be corrected by removing or reversing the salary entry.

Thus option A is correct. The amount should not be doubled, added to sales, or deposited into the bank as a correction. Reversing the appropriation restores the profit available for distribution among the partners. This treatment follows the rule that, when the deed is silent, a partner is generally not entitled to remuneration for taking part in the firm’s business. Any valid correction must reflect the actual agreement rather than create a new benefit.