how to treat bank overdraft?

Dear Student
If Bank Overdraft is given in the Balance Sheet in the question then it represents the negative Cash balance. Hence, it is shown on the credit side of the Bank Account (at the time of Admission of a Partner). 
However, if at the time of Admission of a Partner, Bank Account shows a negative balance i.e. when debit side is more than the credit side (after all adjustment) then it is termed as Bank Overdraft and shown on the Liability side of Reconstituted Firm's Balance Sheet. 

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Bank overdraft is a liability. It is a negative bank balance. It is the allowance a bank gives you to make payment or withdraw more than the current account balance similar to a negative balance your mobile phone shows when you sometimes talk on the phone longer than the balance left.

In revaluation account it can come on debit side depending on the language of the question as well as it will surely feature in the list of liabilities.

I hope your doubts are solved. If you are still not clear, write to me at harjassinghgulati@yahoo.co.in

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