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Question

Accountancy Question on Profit and Loss Account

Super profit refers to:

A

Abnormal profits earned by the partnership firm

B

Difference between Normal profit and profit as shown by Profit and Loss A/c

C

Difference between Average adjusted profit and Normal profit

D

Capital multiplied by Normal Rate of Return

Answer

Difference between Average adjusted profit and Normal profit

Explanation

Solution

The correct option is (C) :Difference between Average adjusted profit and Normal profit