Hello freinds.
Here are my queries:
1) Mr X has invested in a partnership firm Xyz with capital introruction from time to time. How will this bcapital and profit from the firm be accounted for in his personal books?
2) He has another business in sole propreitorahip. If he takes money out of this to introduce in the above said firm, how will this be accounted? Unsecured loan?
I am co fused regarding accounting rreatment of various propreitorships of the same person.
Kindly explain in detail.
1. THe investment in the partnership firm will be shown on the asset side of the balance sheet as investments.."investment in XYZ firm".all the addition withdrawal shall be reflected in that account,a also profit/loss, remuneration,int on capital.
2.,no
.. under same head as above
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