If Revaluation Account has debit ₹13500 and credit ₹9000 then what is the balance?

Correct answer: ₹4500 loss

A Revaluation Account compares the value of gains and increases in assets with losses and decreases in assets. Its debit side records losses, while its credit side records gains. The side with the larger total determines the result. Therefore, when debit is ₹13,500 and credit is ₹9,000, the debit side is greater by ₹4,500. This represents a revaluation loss, so option A is correct.

The calculation is ₹13,500 − ₹9,000 = ₹4,500. Since debit exceeds credit, the difference is a debit balance and is transferred to the old partners’ capital or current accounts in their old profit-sharing ratio. It would be incorrect to call this a profit merely because both sides contain amounts; the larger debit total clearly shows a loss. Thus, the balance is ₹4,500 loss.