Partnership-basic concepts

In the absence partnership deed, interest on loan of a partner is allowed

• 8%

• 6%

• No interest

• 12%

Partners current accounts are opened, when their capital accounts are------

• fixed

• fluctuating

• fixed and fluctuating

• None of these

The interest on capital accounts of partners under fluctuating capital account method is credited to----e

• Interest account

• profit and loss account

• partners capital account

• partners current account

In the absence of an agreement, to the contrary, partners share profits and losses in the-----

• capital ratio

• average capital

• capital at the beginning

• Equal ratio

current account of a partner

• only credit balance

• will always have debit balance

• may have debit or credit balance

• None

when capitals are fixed, the drawings made by a partner will be recorded in ------

• partners capital account

• profit and loss account

• partners current account

• none

To which account, partners commission ,salary & interest on capital be debited

• P& L Appropriation account

• capital account

• current account

• P&L account

written agreement of partnership is known as-----

Liability of partners is-----

Minimum number of members in a partynership is ----

• 5

• 2

• 100

• 50