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 Interest on capital will be allowed only when: 
  • a)
    There are heavy losses in the firm
  • b)
    There are no profits and no losses 
  • c)
    There are profits 
  • d)
    Always
Correct answer is option 'C'. Can you explain this answer?
Most Upvoted Answer
Interest on capital will be allowed only when:a)There are heavy losses...
According to the rules of the partnership accounts when interest should be shared only when profits
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Interest on capital will be allowed only when:a)There are heavy losses in the firmb)There are no profits and no lossesc)There are profitsd)AlwaysCorrect answer is option 'C'. Can you explain this answer?
Question Description
Interest on capital will be allowed only when:a)There are heavy losses in the firmb)There are no profits and no lossesc)There are profitsd)AlwaysCorrect answer is option 'C'. Can you explain this answer? for CA Foundation 2025 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about Interest on capital will be allowed only when:a)There are heavy losses in the firmb)There are no profits and no lossesc)There are profitsd)AlwaysCorrect answer is option 'C'. Can you explain this answer? covers all topics & solutions for CA Foundation 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Interest on capital will be allowed only when:a)There are heavy losses in the firmb)There are no profits and no lossesc)There are profitsd)AlwaysCorrect answer is option 'C'. Can you explain this answer?.
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