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Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:
Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.
Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.
- a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).
- b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).
- c)Assertion (A) is true, but Reason (R) is false .
- d)Assertion (A) is false, but Reason (R) is true.
Correct answer is option 'B'. Can you explain this answer?
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Most Upvoted Answer
Directions : In the following questions, a statement of Assertion (A)...
Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.
Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.
Explanation:
The Profit and Loss Appropriation Account is a part of the final accounts of a partnership firm. It is prepared to determine the distribution of profits among the partners. Let's analyze the given Assertion and Reason.
Assertion (A) is true:
The Profit and Loss Appropriation Account is prepared when there are certain adjustments related to partnership. These adjustments include interest on capital, interest on drawings, salary to partners, commission to partners, and any other special arrangements or agreements between the partners. These adjustments are necessary to determine the true profitability and ensure an equitable distribution of profits among the partners.
Reason (R) is true:
The Profit and Loss Appropriation Account is prepared to ascertain the profit earned by the firm and distribution among the partners. It shows the allocation of profits to different partners' capital accounts after considering the adjustments mentioned above. The account includes entries for the division of profits, such as drawings, interest on drawings, interest on capital, salary, and commission. It helps in determining the share of each partner in the profits and facilitates transparency and fairness in the distribution process.
Reason (R) is not the correct explanation of Assertion (A):
While Reason (R) provides additional information about the purpose and significance of the Profit and Loss Appropriation Account, it does not directly explain why the account is only prepared when there are certain adjustments related to partnership. The assertion states a specific condition for the preparation of the account, while the reason explains the purpose and benefits of the account. The explanation for the condition mentioned in the assertion lies in the nature of partnership agreements and the need to account for specific adjustments.
Conclusion:
Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A). The Profit and Loss Appropriation Account is prepared when there are certain adjustments related to partnership, and it serves the purpose of determining the profit earned by the firm and its distribution among the partners.
Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.
Explanation:
The Profit and Loss Appropriation Account is a part of the final accounts of a partnership firm. It is prepared to determine the distribution of profits among the partners. Let's analyze the given Assertion and Reason.
Assertion (A) is true:
The Profit and Loss Appropriation Account is prepared when there are certain adjustments related to partnership. These adjustments include interest on capital, interest on drawings, salary to partners, commission to partners, and any other special arrangements or agreements between the partners. These adjustments are necessary to determine the true profitability and ensure an equitable distribution of profits among the partners.
Reason (R) is true:
The Profit and Loss Appropriation Account is prepared to ascertain the profit earned by the firm and distribution among the partners. It shows the allocation of profits to different partners' capital accounts after considering the adjustments mentioned above. The account includes entries for the division of profits, such as drawings, interest on drawings, interest on capital, salary, and commission. It helps in determining the share of each partner in the profits and facilitates transparency and fairness in the distribution process.
Reason (R) is not the correct explanation of Assertion (A):
While Reason (R) provides additional information about the purpose and significance of the Profit and Loss Appropriation Account, it does not directly explain why the account is only prepared when there are certain adjustments related to partnership. The assertion states a specific condition for the preparation of the account, while the reason explains the purpose and benefits of the account. The explanation for the condition mentioned in the assertion lies in the nature of partnership agreements and the need to account for specific adjustments.
Conclusion:
Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A). The Profit and Loss Appropriation Account is prepared when there are certain adjustments related to partnership, and it serves the purpose of determining the profit earned by the firm and its distribution among the partners.
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Directions : In the following questions, a statement of Assertion (A)...
Whenever there is an adjustment relating to the partnership, Profit and Loss Appropriation Account is made to ascertain and divide the profit among the partners.
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Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'B'. Can you explain this answer?
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Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'B'. Can you explain this answer? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'B'. Can you explain this answer?.
Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'B'. Can you explain this answer? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'B'. Can you explain this answer?.
Solutions for Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'B'. Can you explain this answer? in English & in Hindi are available as part of our courses for Commerce.
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Here you can find the meaning of Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'B'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'B'. Can you explain this answer?, a detailed solution for Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'B'. Can you explain this answer? has been provided alongside types of Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'B'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice Directions : In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:Assertion (A): Profit and Loss Appropriation Account is only prepared when there are certain adjustments related to partnership.Reason (R): Profit and Loss Appropriation is prepared to ascertain the profit earned by the firm and distribution among the partners.a)Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).b)Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A).c)Assertion (A) is true, but Reason (R) is false .d)Assertion (A) is false, but Reason (R) is true.Correct answer is option 'B'. Can you explain this answer? tests, examples and also practice Commerce tests.
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