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When a partner dies, to which account is the deceased partner's share of goodwill first credited?

Answer and explanation

Correct answer: Deceased partner's capital account

The deceased partner's share of goodwill is first credited to that partner's capital account. The amount due is then transferred to the deceased partner's executor's account when the capital account is closed.

Related tags

Death Of PartnerGoodwillCapital AccountGoodwill SettlementReconstitution Retirement Or Death Of A PartnerAccountancyClass 12 Mcq

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