Which of the following statement regarding the dissolution of a partnership firm is true:
A. Only the assets of the firm can be used for the payment of the firm's liabilities
B. Loss on realisation is transferred to partners, capital accounts in their capital ratio
C. Any amount realised from the sale of an unrecorded asset is credited to the realisation account
D. Partners loan to the firm is transferred to the realisation account with the liabilities of the firm
Answer: Option C
Accounting provides information on
A. Cost and income for managers
B. Company's tax liability for a particular year
C. Financial conditions of an institutions
D. All of the above
The long term assets that have no physical existence but are rights that have value is known as
A. Current assets
B. Fixed assets
C. Intangible assets
D. Investments
The assets that can be converted into cash within a short period (i.e. 1 year or less) are known as
A. Current assets
B. Fixed assets
C. Intangible assets
D. Investments
Patents, Copyrights and Trademarks are
A. Current assets
B. Fixed assets
C. Intangible assets
D. Investments
Join The Discussion