Question:medium

If unrecorded assets are taken over by a partner, the entry will be:

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When a partner takes over unrecorded assets, the value of those assets is credited to the partner’s capital account.
Updated On: Mar 26, 2026
  • To Unrecorded Assets Account
  • To Deceased Partner’s Capital Account
  • To Realisation Account
  • To Partner’s Capital Account
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The Correct Option is D

Solution and Explanation

When unrecorded assets are assumed by a partner, the journal entry is: \[ \text{Unrecorded Assets Account} \quad Dr. \quad \text{To Partner’s Capital Account} \] This entry documents the transfer of unrecorded assets to the partner's capital account. The value of these assets is credited to the partner assuming them.
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