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Standard XII

Accountancy

Interest on Capital and Drawings at the Time of Death

In case of de...

Question

In case of death of partner, interest on drawings is charged up to the ____________

31st December 20XX

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31st March 20XX

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death of the partner

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end of the year

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Solution

The correct option is C
death of the partner

In case of death of the partner, interest on drawings is charged up to the date of death of the partner.

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Similar questions

Q. (Calculation of Interest on Drawings by Simple Method and Product Method). In a partnership, partners are charged interest on drawings @

15 %

p.a. During the year ended 31st March, 2018, a partner drew as follows:

Date	1st May, 2017	1st August 2017	30th September, 2017	31st January, 2018	31st March, 2018
Amount (Rs.)	2,000	5,000	2,000	6,000	2,000

What is the interest chargeble from the partner?

A and B, two partners of a firm, have drawn the following amounts from the firm in the year ending 31st March, 2013. Interest at $6 %$ p.a. is charged on all drawings. Calculate interest chargeable by using Average due date system.

Harish is a partner in a firm. He withdrew the following amount during the year 2006

(Rs)

February 1 4,000

May 1 10,000

June 30 4,000

October 31 12,000

December 31 4,000

Interest on drawings is to be charged $@ 7 \frac{1}{2} % p a .$

Calculate the amount of interest to be charged on Harish's drawings for the year ending December 31, 2006.

Q. A, B and C are partners sharing profits and losses in the ratio of

A \frac{1}{2}, B \frac{3}{10}, C \frac{1}{5}

after providing interest @ 5% on their respective capitals, viz., A Rs. 50,000; B Rs. 30,000 and C Rs. 20,000 and allowing B and C a salary of Rs. 5,000 each per annum. During the year ended 31st March, 2018, A has drawn Rs. 10,000 and B and C in addition to their salaries have drawn Rs. 2,500 and Rs.1,000 respectively. The Profit and Loss Account for the year ended 31st March, 2018 showed a net profit of Rs. 45,000 before charging (a) interest on capital and (b) partners' salaries. On 1st April, 2017, the balances in the Current Accounts of the partners were A (Cr.) Rs. 4,500; B (Cr.) Rs. 1,500 and C (Cr.) Rs. 1,000. Interest is not charged on Drawings or Current Account balances. Show Partners' Capital and Current Accounts as at 31st March, 2018 after division of profits In accordance with the partnership agreement.

Harish is a partner in a firm. He withdrew the following amounts during the year 2017 :

	Rs
February 01	4,000
May 01	10,000
June 30	4,000
October 31	12,000
December 31	4,000

Interest on drawings is to be charged @ 7.5 % p.a.

Calculate the amount of interest to be charged on Harish’s drawings for the year ending December 31, 2017.

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In case of death of partner, interest on drawings is charged up to the ____________

The correct option is C death of the partner In case of death of the partner, interest on drawings is charged up to the date of death of the partner.

The correct option is C
death of the partner

In case of death of the partner, interest on drawings is charged up to the date of death of the partner.