After the closing entries have been completed the profit distribution account in a partnership always has a:
A) debit balance.
B) nil balance.
C) credit balance.
D) negative balance.

Question

Quizplus · Accepted Answer

After the closing entries are completed, the profit distribution account in a partnership should have a nil balance because all profits and losses have been allocated to the partners' capital accounts.

After the Closing Entries Have Been Completed the Profit Distribution