A, B and C are partners sharing profits in the ratio of 3 : 2 : 1. C died on 1st July, 2023. On this date, final accounts were prepared to ascertain profits for the period. It resulted in a profit of ₹ 1,75,000 to the firm. To give effect to the above :
1
Profit and Loss Account will be debited.
2
Profit and Loss Appropriation Account will be debited.
3
Profit and Loss Account will be credited.
4
Profit and Loss Appropriation Account will be credited.