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If the deed calls salary a compulsory payment before profit, how may it be treated even when the firm has loss?

Answer and explanation

Correct answer: Like an expense due to special clause

Normally partner salary is appropriation, but a clear special clause can change the result. Wording of the question is decisive.

Related tags

Partner SalarySpecial ClauseLossPartnership DeedPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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