Q. A partners has to pay interest on drawings what is the entry in the personal A/c of the partner?
✅ Correct Answer: (D)
debit partners current a/c
Financial Accounting 2 MCQs and Notes
Q. Drawings of the partners are:
✅ Correct Answer: (D)
debited to capital a/c
Q. Capital of the partners are maintained by:
✅ Correct Answer: (C)
by any two above methods
Q. Liability of partners in a partnership business is:
✅ Correct Answer: (B)
un-limited
Q. The members of partnership firm are individually called as:
✅ Correct Answer: (C)
partner
Q. Under fixed capital methods, profit will be credited to:
✅ Correct Answer: (C)
current a/c
Q. The written agreement of partnership is called:
✅ Correct Answer: (A)
partnership deed
Q. Any partner who investments in the business but does not take active part in the business is:
✅ Correct Answer: (B)
sleeping partner
Q. Partnership is formed by the partners by:
✅ Correct Answer: (C)
written or oral
Q. Investment in partnership is made by introducing:
✅ Correct Answer: (C)
cash or non – cash assets