As per the Indian Partnership Act, 1932, the rate of interest allowed on loans advanced by partners is

The profit or loss arising from the partnership business is shared by the partners in the ___________

In a partnership business, agreement is ___________

Amount is drawn regularly at the middle of every month during the year. Interest calculated for ___________

___________ is a document in writing that contains the terms of the agreement among the partners.

Indian partnership Act was enacted in the year ___________

Assertion (A): A partnership deed covers all matters relating to mutual relationship among the partners.
Reason (R): But, in the absence of agreement, the following provisions of the Indian Partnership Act, 1936 shall apply for accounting purposes.
(a) Both (A) and (R) are true and (R) is the correct explanation of (A).
(b) Both (A) and (R) are true and (R) is not the correct explanation of (A).
(c) (A) is true, but (R) is false
(d) (A) is false, but (R) is true

(a) Remuneration to partners
(b) Fixed capital method
(c) Interest on capital
(d) Interest on drawings

(i) Current accounts of the partners should be opened when the capitals are Either fixed or fluctuating.
(ii) Goodwill is the present value of a firm's anticipated excess earnings in future and the efforts had already made in the past.
(iii) Any partner who investments 'in the business but does not take active part in the business is Nominal partner
(a) (ii) and (iii) are correct
(b) (i) and (ii) are correct
(c) (ii) is correct
(d) (i), (ii) and (iii) are correct

Rajan is a partner who withdrew Rs. 30,000 during the year 2018. Interest on drawings is charged at 10% per annum. Calculate interest on drawings on 31st December, 2018.

What is the journal entry to be passed for providing interest on capital to a partner?

Ram and Shyam were partners. Ram withdrew Rs. 18,000 at the beginning of each half year. Interest on drawings is chargeable @ 10% p.a. Calculate interest on the drawings for the year ending 31st December 2018 using average period.

If the partner's capital accounts are fixed, where will you record the following items?
(a) Salary payable to a partner
(b) Drawings made by a partner

Arulappan and Nallasamy are partners in a firm sharing profits and losses in the ratio of 4:1. On 1st January 2018, their capitals were Rs. 20,000 and Rs. 10,000 respectively. The partnership deed specifies the following:
(a) Interest on capital is to be allowed at 5% per annum.
(b) Interest on drawings charged to Arulappan and Nallasamy are Rs. 200 and Rs. 300 respectively.
(c) The net profit of the firm before considering interest on capital and interest on drawings amounted to Rs. 18,000.
Give necessary journal entries and prepare Profit and loss appropriation account for the year ending 31st December 2018. Assume that the capitals are fluctuating.

From the following balance sheets of Subha and Sudha who share profits and losses in 2 : 3, calculate interest on capital at 5% p.a. for the year ending 31st December, 20

Drawings of Subha and Sudha during the year were Rs. 8,000 and Rs. 10,000 respectively. Profit earned during the year was Rs. 30,000

The firm of A and B earned a profit of Rs.2,75,000 during the year ending on 31st March, 2015. They have decided to donate 10% of this profit to an NGO working for senior citizens. Pass necessary journal entry for the distribution of profits. Identify the values shown by the firm in donating a part of profit of NGO.

From the following information, prepare capital accounts of partners Shanthi and Sumathi, when their capitals are fixed.

Durga and Preethi entered into a partnership agreement on 1st April 2018, Durga contributing Rs.50,000 and Preethi Rs.60,000 as capital. The agreement provided that:
(a) Profits and losses to be shared in the ratio 3:2 as between Durga and Preethi.
(b) Partners to be entitled to interest on capital @ 5% p.a.
(c) Interest on drawings to be charged Durga Rs.600 Velan Rs.900
(d) Durga to receive a salary Rs.10,000 for the year and
(e) Preethi to receive a commission of Rs.4,000 During the year, the firm made a profit of Rs.40,000 before adjustment of interest, salary and commission prepare the profit and loss appropriation account.