Why partners capital is debited when interest on drawing is recieved?
Please answer is...
Menu
Question related to partnership firm?
Replies (1)
Interests on Drawings is an indirect income for an organization and is credited in the books of accounts. On the other hand since partners generally don't pay to the organization in the form of cash or bank against such interest income, their capital account is DEBITED and Interest on Drawings Credited with the said amount.
Recent Topics :
- Who will take FSSAI AND TRADE LICENSE: owner or te
- E Way Bill in respect of Without Bringing Material
- FAST DS 2026 query
- Consultation
- E-way notices for FY 22-23
- Gst file not created
- Regarding 3CEB query
- Omitted E-Commerce Sales Reported in Table 14 but
- Omitted sales shown in GSTR-1 Table 14 but not in
- EWAY BILL TAKE OUT OF OTHER COMPAMY
Related Topics :
CAclubindia
