Question

___________ account is opened for revaluation of assets and liabilities at the time of admission of a partner into a firm.

• A. Profit and loss A/c
• B. Revaluation A/c
• C. Realization A/c
• D. Profit and loss appropriation A/c

Answer 1

Answer: (B)

Revaluation A/c

Revaluation A/c account is opened for revaluation of assets and liabilities at the time of admission of a partner into a firm.
Revaluation account is also called Profit and loss adjustment account. It is a nominal account. Revaluation account is credited with increase in value of assets and decrease in the value of liabilities