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The balance in a partner’s loan account is ₹5,00,000. If 10% of this balance is paid, what amount will remain in the account?

Answer and explanation

Correct answer: ₹4,50,000

Amount paid = 10% × ₹5,00,000 = ₹50,000. Therefore, the remaining balance is ₹5,00,000 − ₹50,000 = ₹4,50,000, so option C is correct. Options B and D result from applying an incorrect deduction. Exam tip: When 10% of an amount is paid, 90% of the original amount remains.

Related tags

Partner Loan AccountRetirement Of PartnerDeath Of PartnerReconstitutionPercentage CalculationPartner's Loan AccountPartner S Loan AccountReconstitution Retirement Or Death Of A Partner

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