Accounting for partnership firm

The written agreement among the partners is called

• Partnership deed

• Partnership bye laws

• Partnership constitution

• A contract

The liability of the partners in a partnership firm under Indian partnership act, 1932 is

• Limited

• Unlimited

• No liability

• Depending on the situation

Interest on capital is allowed on

• The opening capital

• The capital at the year end

• Average capital of the year

In the absence of partnership deed, interest on capital

• Is allowed at 10% per annum

• Is allowed at 6% per annum

• Is not allowed

In case of fixed capital, partners will have

• Credit balances in their capital account

• Debit balances in their capital accounts

• May have credit or debit balances in their capital accounts

In case of fixed capitals ,interest on capital

• Credited to partners capital account

• Credited to partners current account

• Is debited to partners capital account

Pick the odd out of the following

• Rent to partner

• Managers commission

• Interest on partners loan

• Interest on partners capital

Current account of partners are maintained if

• Capitals are fixed

• Capitals are fluctuating

• Capitals are fixed or fluctuating

In the absence of partnership deed, profit of a firm is divided among the partners

• In the ratio of capital

• Equally

• In the ratio of time devoted for the firm's business

Mohit and Rohit were partners in a firm with capitals of rupees 80000 and rupees 40000 respectively. The firm earned a profit of rupees 30000 during the year, Mohit share in the profit will be

• 20,000

• 10,000

• 15,000