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Can anyone explain illustration no:4 entry of EPF, Joint life policy and why D deficiency only shared by A and B not by C
Answers (2)
D's loss, will be borne by A and B only because only solvent partners having credit balance has to bear the loss on account of insolvency. C will bring his share of loss in cash. And for JLP realise in cash it in so entry Bank account debit To realisation For EPF Bank account br To realisation Because EPF transfer to realisation
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