From a partner's viewpoint, which of the following will have an unfavourable effect on the closing balance of the current account of a partner? i) Opening debit balance in the current account ii) Interest on drawings ii) Salaries iv) Drawings

From a partner's viewpoint, which of the following will have an unfavourable effect on the closing balance of the current account of a partner? i) Opening debit balance in the current account ii) Interest on drawings ii) Salaries iv) Drawings

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter19: Accounting For Partnerships

Section: Chapter Questions

Problem 3MC

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Question

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From a partner's viewpoint, which of the following will have an unfavourable effect
on the closing balance of the current account of a partner?
i)
Opening debit balance in the current account
ii)
Interest on drawings
ii)
Salaries
iv)
Drawings
O A. i), ii), iii) and iv)
O B. i), iii) and iv)
O C.ii) and iv) only
O D. i), ii) and iv)

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