how do we pass the Entry for Reserves? and What is the
Meaning of Surplus?

Answer Posted / gulzar.thpl@gmail.com

entry Will be

Reserves a/c ( particular reserve) Dr.
To profit and loss a/c Cr.
(Being fund transfer to particular reserve.)



Surplus :- i think when profit is transfer to verious
resurves and fund rest of balance of Profit is called as
surplus

Is This Answer Correct ?    3 Yes 4 No



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