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Accountancy · 2023 · 1 mark
Accounting for Partnership: Basic ConceptsMaintenance of Capital Accounts of Partners1 markvery short answer
CBSE 2023 · Region 2 · Set 1 · Q16
Assertion (A) : Under the fluctuating capital method, the balance in the capital account fluctuates from time to time . Reason (R) : Under the fluctuating capital method, all the adjustments such as share of profit and loss, interest on capital, drawings, interest on drawings etc. are recorded directly in the capital accounts of the partners.
Official answer
From CBSE’s own marking scheme for this paper.
(D)
Both (A) and (R) are correct and (R) is the correct explanation of (A)
Marking-scheme solution
(d)
Both (A) and (R) are correct and (R) is the correct explanation of (A).
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CBSE Class 12 Accountancy past-paper question from the 2023board exam, with the answer as CBSE’s own marking scheme gives it. Where our answers come from.