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The deed says partner salary is payable irrespective of profit or loss. Loss before salary is eighteen thousand rupees and salary is forty two thousand rupees. What is total loss after salary?

Answer and explanation

Correct answer: Sixty thousand rupees

The special clause makes salary a charge. Adding salary forty two thousand to loss eighteen thousand gives total loss sixty thousand rupees.

Related tags

Salary As ChargeLossPartnership DeedProfit DistributionPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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