Question
Accountancy Question on Shares
State the Journal entry when sacrificing partner Radha withdraws her Share of goodwill in cash?
A
Radha's Capital A/c Dr. To Cash A/c
B
Bank A/c Dr To Radha's Capital A/c
C
Radha's Capital A/c Dr To Goodwill A/c
D
Premium for Goodwill A/c Dr To Radha's capital A/c
Answer
Radha's Capital A/c Dr. To Cash A/c
Explanation
Solution
The correct option is (A) :Radha's Capital A/c Dr. To Cash A/c