CUET CUET Accountancy 2024 - Identify the correct sequence to be followed while preparing of final account of a partnership firm: | PYQs + Solutions

CUET Accountancy 2024

Accountancy

Accounting for Partnership

Easy

(A) Profit and Loss Appropriation Account
(B) Profit and Loss Account
(C) Trading Account
(D) Balance Sheet

Identify the correct sequence to be followed while preparing of final account of a partnership firm:

(C), (B), (A), (D)

(A), (C), (B), (D)

(B), (A), (D), (C)

(C), (B), (D), (A)

Correct Option: 1

To prepare the final accounts of a partnership firm, it's essential to follow a systematic sequence to ensure accuracy and compliance with accounting principles.

The typical steps involved are:

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Prepare the Trading Account - This shows the gross profit or loss from trading activities.

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Prepare the Profit and Loss Account - This details the net profit or loss after accounting for all expenses.

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Prepare the Appropriation Account - This outlines how the net profit is distributed among partners.

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Prepare the Balance Sheet - This presents the financial position of the firm at the end of the accounting period.

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Thus, the correct option is Option 1: (C), (B), (A), (D).

CUET Accountancy 2024 PYQs

Identify the correct sequence to be followed while preparing of final account of a partnership firm:

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