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Balance of loan account should be transferred to which account if any loan or advance is provided by a partner?
36. Balance of loan account should be transferred to which account if any loan or advance is provided by a partner?
- Balance Sheet Assets Side
- Partners' Capital Account
- Balance Sheet Liability Side
- Partner's Liability Account
Answer: C) Balance Sheet Liability Side
Explanation:
If any loan or advance is provided by the partner then the balance of it will be transferred to Balance Sheet Liability Side.