The major distinguishing element between the final account of a partnership and that of a…

The major distinguishing element between the final account of a partnership and that of a sole trader is the

  • A.
    drawing account
  • B.
    capital account
  • C.
    Creditor account
  • D.
    Appropriation account
Correct Answer: Option B
Explanation

The Major Difference Of The Financial Statement between a Sole Proprietorship And Partnership is More than one capital account. The number of capital accounts depends on the number of partners in the Partnership concern. Profit & loss is distributed to the partners’ capital account according to the agreed ratio

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