workmen compensation reserve

if in adjustments its given that no compensation is payable on wcr then should it be routed through revaluation a/c or distributing in partners cap. a/c

this query arose from the fact that when similar adjustment of provision for is given i.e provision is not required we credit it in revaluation a/c.

asked Mar 27, 2015 in Partnership-Admission by deepz (143 points) 893 views

1 Answer

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heres the full question

answered Mar 27, 2015 by deepz (143 points)
Actually, it can done both through revaluation account and partners' capital account.  Actually we use revaluation account so that all such transactions at the timeof admission and retirement are shown at one place and their impact is also shown at one place.  So in exam you should prefer through revaluation account.