Partnership

Accounting

Medium

common

Match List-I with List-II

List-I List-II
Interest on Drawings Time (Month)
(A). When the amount is withdrawn at the beginning of each month. (I). 6 months
(B). When the amount is withdrawn at the end of each month. (II). 6.5 months.
(C). When the amount is withdrawn at the middle of each month. (III). 5.5 months.
(D). When the amount is withdrawn at the end of each quarter. (IV). 4.5 months.

Choose the correct answer from the options given below:

List-I	List-II
Interest on Drawings	Time (Month)
(A). When the amount is withdrawn at the beginning of each month.	(I). 6 months
(B). When the amount is withdrawn at the end of each month.	(II). 6.5 months.
(C). When the amount is withdrawn at the middle of each month.	(III). 5.5 months.
(D). When the amount is withdrawn at the end of each quarter.	(IV). 4.5 months.

(A) - (III), (B) - (II), (C) - (IV), (D) - (I)

(A) - (II), (B) - (III), (C) - (IV), (D) - (I)

(A) - (II), (B) - (III), (C) - (I), (D) - (IV)

(A) - (III), (B) - (IV), (C) - (I), (D) - (II)

✅ Correct Option: 3

When equal amounts are drawn periodically throughout the year, interest is calculated on the average period for which the total drawings remain with the partner.

For monthly drawings over 12 months:

(A) Withdrawn at the beginning of each month:

The first withdrawal (January) stays for 12 months, second (February) for 11 months, and so on till the last (December) for 1 month.

Average period = $\frac{12 + 11 + 10 + ... + 2 + 1}{12}$ = $\frac{78}{12}$ = 6.5 months

(B) Withdrawn at the end of each month:

The first withdrawal (end of January) stays for 11 months, second (end of February) for 10 months, and so on till the last (end of December) for 0 months.

Average period = $\frac{11 + 10 + 9 + ... + 1 + 0}{12}$ = $\frac{66}{12}$ = 5.5 months

(C) Withdrawn at the middle of each month:

This is the average of beginning and end of month withdrawals.

Average period = $\frac{6.5 + 5.5}{2}$ = 6 months

For quarterly drawings:

(D) Withdrawn at the end of each quarter:

There are 4 quarters. Withdrawals at the end of March, June, September, and December stay for 9, 6, 3, and 0 months respectively.

Average period = $\frac{9 + 6 + 3 + 0}{4}$ = $\frac{18}{4}$ = 4.5 months

Matching:

(A) → (II) 6.5 months
(B) → (III) 5.5 months
(C) → (I) 6 months
(D) → (IV) 4.5 months

Correct Answer: Option 3

2025: 30 May Shift 1

Which among the following is NOT true about the Partnership?

2022: 15 July Shift 2

Lockers Rent Received during the year by a club is Rs. 17,050. Locker rent Rs. 3,050 outstanding for the previous year and Rs. 1500 outstanding for the current year.

The amount to be shown in Income and Expenditure is :

2025: 13 May Shift 1

Calculate Interest on drawings for the amount of Rs. 7000 withdrawn on November 30, 2019

2025: 27 May Shift 1

Which combination of statements are false about partnership-

(A) Interest on partner's loan is to be given @ 12% p.a. If the deed is silent about the rate.

(B) If the deed is silent, interest at the rate of 6% p.a. would be charged on the drawings made by the partner.

(D) Each partner carrying on the business is the principal as well as the agent for all the other partners

Choose the correct answer from the options given below:

(A), (B) and (D) only
(A), (B) and (C) only
(A), (B), (C) and (D)
(B), (C) and (D) only

2025: 27 May Shift 2

The Profit and Loss Appropriation Account is merely an extension of the Profit and Loss Account of the firm,

Which, among the following, is not shown in the Profit and Loss Appropriation Account?

2025: 22 May Shift 2

A and B are partners without any partnership deed. B has given loan of Rs.2,00,000 to the firm on 1st July 2023. B claim interest on loan @ 10% p.a. How much interest on loan will be paid to B for the year ending on 31st March 2024. ?

Solution

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