A-LevelAccountingPreparation of financial statements9706/12 · May/June 2023 · Q151 Mark
A partnership maintains separate capital accounts and current accounts. Which statements are correct? 1 The capital accounts represent the retained earnings of the business. 2 The capital accounts show the total amount owed to each partner. 3 The capital accounts and current accounts equal the net assets.
A1 and 2
B1 and 3
C2 only
D3 only
✓ Correct answer
D: 3 only
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