Does Interest on capital changes the amount of capital?

No, it does not change the amount of capital.

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Yes, it changes the amount of capital.

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Solution

The correct option is A
No, it does not change the amount of capital.

The increase in the amount of interest on capital is offset by a decrease in the amount of profits. So the capital remains the same.

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Does Interest on capital changes the amount of capital?

The correct option is A No, it does not change the amount of capital. The increase in the amount of interest on capital is offset by a decrease in the amount of profits. So the capital remains the same.

The correct option is A
No, it does not change the amount of capital.

The increase in the amount of interest on capital is offset by a decrease in the amount of profits. So the capital remains the same.