Question : In the case of fixed capital, interest on capital

Option 1: is credited to the partner's capital account

Option 2: is credited to the partner's current account

Option 3: maybe credited to the partner's capital and current account

Option 4: is debited to the partner's capital account

Question : In the case of fixed capital, interest on capital

Option 1: is credited to the partner's capital account

Option 2: is credited to the partner's current account

Option 3: maybe credited to the partner's capital and current account

Option 4: is debited to the partner's capital account

Question : When a partner pays unrecorded liability is --------------------debited and concerned ------------------------is credited.

Option 1: Realization account debited, concerned partner's capital account

Option 2: Concerned partner's capital, realization account

Option 3: Unrecorded liability debited, cash account 

Option 4: None of the above.

Question : M, N and O are partners in a firm sharing profits in the ratio of 3: 2: 1. Goodwill has been valued at Rs. 60,000. On N's retirement M and O agree to share profits equally. Amount credited to M's capital account will be:

Option 1: Credited M's capital account by Rs 10,000

Option 2: Debited M's capital account by Rs 10,000

Option 3: Credited M's capital account by Rs 20,000

Option 4: None of the above

Question : Investment fluctuating reserve will be transferred to ----------------account at the time of dissolution.

Option 1: cash account

Option 2: partner's capital account

Option 3: investment account

Option 4: partner's loan account.