In an adjustment entry, if something is payable to a partner, what will generally happen to his account?

Correct answer: It will be credited

The governing concept is that a payable amount creates or increases the firm’s liability to the partner. When the firm owes a partner, the partner’s capital or current account is credited because the credit records an increase in the partner’s claim against the firm. Examples include a firm expense paid personally by the partner, salary or interest due under the deed, and a loan payable to the partner. A debit would reduce the partner’s claim and is generally used for drawings or amounts recoverable from the partner. Closing the account or making no entry would fail to record the obligation. Therefore option A is correct.