Question

account is prepared in order to ascertain net gain or loss on revaluation of assets and liabilities and bringing unrecorded items into books.

• A. Appropriation
• B. Revaluation
• C. Capital
• D. Realisation

Answer 1

The correct option is B Revaluation

Revaluation account is a nominal account prepared for the purpose of distributing and transferring the profit or loss arising out of increase or decrease in the book value of assets and/ or liabilities of the partnership firm and bringing unrecorded items into books.