Question

Amount due to a retiring partner is shown as _________.

• A. capital a/c.
• B. long term loan.
• C. retiring partner loan a/c.
• D. term loan a/c.

Answer 1

The correct option is C retiring partner loan a/c.

Any amount due from the retiring partner it must be shown and enter in the retiring partner loan a/c . The separate account of retiring partner is open to store record its different existing partner account.