If the deed provides interest on capital up to the date of death of a partner, up to what period will interest be calculated?

Correct answer: Up to date of death

Direct answer: Option A, up to the date of death. The question gives a precise contractual limit: interest on capital is allowed up to the partner’s date of death. Step by step: identify the opening date or relevant capital balance; determine the rate stated in the deed; calculate interest for the period from the beginning of the accounting period, or another specified date, up to the actual date of death; stop the calculation on that date. The partner’s legal status and entitlement under this clause do not continue beyond the stated death date. Option A is correct because it repeats the exact endpoint required by the deed. Option B, the full next year, is wrong because the deceased partner cannot be credited under this instruction for a period beyond death. Option C, until firm closure, is wrong because closure may occur much later and is not the contractual endpoint. Option D, only up to the previous year, is wrong because the deed specifically permits calculation during the current year up to death. If a numerical question is asked, a fraction of the year may be used, for example months over twelve, when the textbook method requires it. Memory cue: for a death-year adjustment, stop at the event date, not the year-end.