(i) Nikhil, Akhil and Amber are partners in a firm. At the time of Akhil’s retirement, Amber takes over furniture of ₹ 12,000 at ₹ 10,000.

Choose the correct journal ew from the following options to record this adjustment.

(a) Debit Furniture Account ₹ 10,000; Credit Amber’ s Capital Account ₹ 10,000
(b) Debit Furniture Account ₹ 12,000; Credit Amber’ S Capital Account = 10,000; Credit Revaluation Account ₹ 2,000
(c) Debit Amber’s Capital Account ₹10,000; Credit Furniture Account ₹10,000
(d) Debit Amber’s Capital Account = 10,000; Debit Revaluation Account = 2,000; Credit Furniture Account = 12,000

Solution