When there is change in profit sharing ratio amongst existing partners, should the assets and liabilities be revalued? Post category:Accountancy Reading time:1 mins read SOLUTION Yes. Because the profit or loss on revaluation should by credited or debited to the accounts of the partners in their old profit-sharing ratio. Please Share This Share this content Opens in a new window X Opens in a new window Facebook Opens in a new window Pinterest Opens in a new window LinkedIn Opens in a new window Viber Opens in a new window VK Opens in a new window Reddit Opens in a new window Tumblr Opens in a new window Viadeo Opens in a new window WhatsApp Read more articles Previous PostWhen there is change in the profit-sharing ratio amongst existing partners, does it require adjustment for goodwill? Next PostWhat is the nature of ‘Revaluation Account’? You Might Also Like How does the market situation affect the value of goodwill of a firm? September 26, 2022 What do you mean by Cumulative Preference Shares? September 28, 2022 A and B are partners in a firm sharing profits and losses in the ratio of 3 : 2. On 31st March, 2019, their Balance Sheet was as follows: July 26, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
A and B are partners in a firm sharing profits and losses in the ratio of 3 : 2. On 31st March, 2019, their Balance Sheet was as follows: July 26, 2022