wiz-icon
MyQuestionIcon
MyQuestionIcon
3
You visited us 3 times! Enjoying our articles? Unlock Full Access!
Question

Give a word / term / phrase which can substitute each of the following statements :

Excess of proportionate at capital over actual capital.

Open in App
Solution

Deficit capital

Explanation: Excess of proportionate capital over actual capital represents deficit capital. This implies that the existing capital of the partners is less than what the capital should be on proportionate basis. The amount of deficit capital must be brought in by the old partners or it is to be transferred to their current accounts.

flag
Suggest Corrections
thumbs-up
0
Join BYJU'S Learning Program
similar_icon
Related Videos
thumbnail
lock
Debts and Deficits
ECONOMICS
Watch in App
Join BYJU'S Learning Program
CrossIcon