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At balancing of appropriation account credit side exceeds by Rs 12000. What is the most likely missing item in final profit distribution?

Answer and explanation

Correct answer: Debit entry for distributing profit among partners is missing

Excess credit may mean profit is not yet distributed. In final profit distribution appropriation account is debited.

Related tags

Appropriation BalanceProfit DistributionError CheckPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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