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Question

Accountancy Question on Shares

A newly admitted partner has the right to -

A

Share the profit of firm after his admission

B

Share the assets of the firm before his admission

C

Share the general reserve already appearing in the Balance Sheet before his admission

D

Demand extra-profit than his agreed share if business makes huge profits

Answer

Share the profit of firm after his admission

Explanation

Solution

The correct option is (A): Share the profit of firm after his admission