Home » Past Questions » Accounts » Osei and Yabo were in partnership sharing profits and losses in the ratio of 2:3...

Osei and Yabo were in partnership sharing profits and losses in the ratio of 2:3...


Question

Osei and Yabo were in partnership sharing profits and losses in the ratio of 2:3. On admitting Takwa, the profit and loss sharing ratio was charged to 1:1:1. Suppose Takwa paid ₦30 000 for goodwill , this amount would be?

Options

A)
credited to Takwa's current acount
B)
debited to goodwill account
C)
share to all the partners' capital account
D)
credited to the old partners' capital account

The correct answer is B.


More Past Questions:


Discussion