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If the deed is silent why will interest on drawings not be charged in capital or current account?

Answer and explanation

Correct answer: Because interest on drawings is not charged without clear provision

Interest on drawings is a charge against partner and needs provision. If deed is silent it is not charged.

Related tags

Deed SilentInterest On DrawingsCurrent AccountCapital AccountsPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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