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Why profit and loss suspense account …

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Why profit and loss suspense account is prepared at time of death of a partner?

    • Posted by Babita Sindhu 6 years, 9 months ago

    CBSE > Class 12 > Accountancy
    • 2 answers

    Sakshi Jain 6 years, 9 months ago

    This is why because the deceased partner have right to share the profit and loss till he is a partner of that firm but he died at any time so at that time fimr have not conformed about profit thats why P&L suspense A/c is prepared.......

    0Thank You

    Jitesh Parpyani 6 years, 9 months ago

    Because the continuing partners have to give the share of profit or loss upto the date of death of the partner to the deceased partner's executor

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