Q. For the firm interest on drawing is:
✅ Correct Answer: (B)
income
Financial Accounting 2 MCQs and Notes
Q. Every partner has a right to be consulted in all matters affecting the business of:
✅ Correct Answer: (B)
partnership
Q. The agreement among partners which set out the terms on which they had agreed to form a partnership is called:
✅ Correct Answer: (A)
partnership deed
Q. A person who receives a share of profits from one of the regular partner is called:
✅ Correct Answer: (D)
sub – partner
Q. A person who declares by word of mouth as partner of the firm is called:
✅ Correct Answer: (B)
estople partner
Q. If no provision is made in agreement regarding the duration of the partnership:
✅ Correct Answer: (B)
partnership at will
Q. The persons who have entered into a partnership business are individually called:
✅ Correct Answer: (C)
partners
Q. The persons who have entered into a partnership business are individually called:
✅ Correct Answer: (A)
realization a/c
Q. When all partners are insolvent creditors will be:
✅ Correct Answer: (B)
paid rate ably
Q. Loss on realization is:
✅ Correct Answer: (A)
debited to partners capital a/c