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O-LevelAccountingAccounting procedures7707/12 · Oct/Nov 2020 · Q221 Mark

In addition to a share of the profit a partner receives interest on capital, a salary and is charged interest on drawings. How are these recorded in the ledger accounts of the partner? interest on capital | salary | interest on drawings --- | --- | --- credit capital account | credit current account | debit capital account credit current account | debit capital account | credit current account credit current account | credit current account | debit current account debit current account | debit current account | credit current account

Acredit capital account | credit current account | debit capital account
Bcredit current account | debit capital account | credit current account
Ccredit current account | credit current account | debit current account
Ddebit current account | debit current account | credit current account

✓ Correct answer

C: credit current account | credit current account | debit current account

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About this question

Topic
Accounting procedures, O-Level Accounting (syllabus 7707). Multiple choice, 1 mark.
Source
O-Level Accounting, Oct/Nov 2020 Paper 1 Variant 2, question 22.

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