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Class 12 Accountancy Reconstitution - Admission of a Partner Asset RevaluationHard

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The old firm shows patent at ₹60000. On admission half of the patent value is considered expired. What will happen in Revaluation Account?

Answer and explanation

Correct answer: Debit ₹30000

Expiry of half of patent value causes a decrease of ₹30000 in the asset. It will be debited to Revaluation Account.

Related tags

Patent Asset Decrease Revaluation Loss Asset Revaluation Reconstitution Admission Of A Partner Accountancy Class 12 Mcq

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