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In which case will no part of Workmen Compensation Reserve be distributed to old partners?

Answer and explanation

Correct answer: When claim equals the reserve

If claim equals the reserve the whole reserve is used for the claim. With no balance there is no distribution.

Related tags

Workmen Compensation ReserveClaim ConceptDistributionReservesReconstitution Admission Of A PartnerAccountancyClass 12 Mcq

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