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If a partner gives loan to the firm and deed is silent what rate of interest is considered?

Answer and explanation

Correct answer: Six percent per annum

If the deed is silent a partner's loan carries six percent annual interest. In exams remember loan and capital rules separately.

Related tags

Partner LoanSilent DeedInterest RatePartnership DeedPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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