Question : A and B are Partners in a Partnership firm without any agreement. A has withdrawn Rs. 50,000 out of his capital as Drawings. Interest on Drawings may be charged from A by the firm.
Option 1: @ 5% p.a.
Option 2: @ 6% p.a.
Option 3: @ 6% per month
Option 4: No interest can be charged.
Correct Answer: No interest can be charged.
Solution : Answer = No interest can be charged . If Drawings are made out of Capital, then no interest on Drawings is Charged. This is because, without a specific provision in the partnership deed, interest on drawings cannot be enforced or charged from any partner. Hence, the correct option is 4.
Question : In the absence of a partnership agreement, interest on partners' drawings is charged:
Question : In a Partnership firm, a Partner withdrew Rs. 5,000 per month on the first day of every month during the year for personal expenses. If interest on Drawimgs is charged @ 6% PA, the interest charged will Be
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