Solution:

Step 1: Understanding Partner's Salary in Accounting

• In a partnership firm, partners receive a salary as per the agreement.
• This salary is not considered an expense but rather an appropriation of profit since partners are owners.
• Therefore, it is not recorded in the Profit & Loss A/c (which records expenses of the business).

Step 2: Correct Treatment

• Partner’s salary is recorded in the Profit and Loss Appropriation A/c.
• The Profit and Loss Appropriation A/c is used to distribute profits among partners in the form of salary, commission, interest on capital, and profit share.

Final Answer:

 Option (b) Profit and Loss Appropriation A/c is the correct answer.