a partner's loan was appearing on the liabilities side of balance sheet at 50000. accepted unrecorded asset of 40000 at 35000 and the balance was paid to him cash. pass the journal entry
Dear student
As partner's loan of amount 35000 is compensate with unrecorded Assets Hence no journal would pass. How ever balance cash paid to him is recorded as
Partner's Loan A/C...................................Dr 15000
To Cash 15000
(Being balance amount paid for partner's loan)
Regards
As partner's loan of amount 35000 is compensate with unrecorded Assets Hence no journal would pass. How ever balance cash paid to him is recorded as
Partner's Loan A/C...................................Dr 15000
To Cash 15000
(Being balance amount paid for partner's loan)
Regards