Partner's current accounts are transferred to the respective partners' ________ at the time of dissolution of a partnership.
- ACapital account
- BLoan account
- CDrawings account
- DNo transfer of current accounts
Solution & Step-by-step Explanation
At the time of a firm's final dissolution, all running secondary accounts like Partner's Current Accounts are closed off entirely by shifting their net final balances (debit or credit) directly into the respective Partner's Capital Account before winding up the cash settlement.