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Special Reserve is ₹58000 and there is no related claim. What is the correct conclusion?

Answer and explanation

Correct answer: Full reserve is distributed among old partners in old ratio

If there is no claim against special reserve it is like free accumulated profit. Therefore it is distributed among old partners.

Related tags

Special ReserveNo ClaimOld RatioReservesReconstitution Admission Of A PartnerAccountancyClass 12 Mcq

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