Multiple choice

Directions: Choose the correct option for the given question.

In which of the following processes 'revaluation account' is not prepared?

  1. Admission of partner

  2. Retirement of partner

  3. Dissolution of firm

  4. None of these
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Revaluation account is prepared during admission, retirement, or death of partners to adjust asset/liability values when ownership changes but business continues. During dissolution, the firm ceases to exist - assets are realized (not revalued) and liabilities paid off. A Realization Account, not Revaluation Account, is prepared to record the winding-up process.

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