Question:
Riya, Rita, and Renu were partners in a firm. On 31st March, 2023, Renu retired. The amount payable to Renu ₹2,17,000 was transferred to her loan account. Renu agreed to receive interest on this amount as per the provisions of the Partnership Act, 1932. The rate at which interest would be paid to Renu is:
Riya, Rita, and Renu were partners in a firm. On 31st March, 2023, Renu retired. The amount payable to Renu ₹2,17,000 was transferred to her loan account. Renu agreed to receive interest on this amount as per the provisions of the Partnership Act, 1932. The rate at which interest would be paid to Renu is:
Show Hint
Section 37 of the Indian Partnership Act, 1932, specifies that interest on the amount due to a retiring partner shall be 6\% p.a. if no agreement specifies a different rate.
Updated On: Jan 28, 2025
9 % p.a.
6 % p.a.
12 % p.a.
- 10 % p.a.
Show Solution
Verified By Collegedunia
The Correct Option is B
Solution and Explanation
As per Section 37 of the Indian Partnership Act, 1932, the interest on the amount due to a retiring partner is payable at the rate of 6 % per annum, unless otherwise agreed upon by the partners.
Was this answer helpful?
0
0
Top CBSE CLASS XII Accountancy Questions
From the following Balance Sheet of Hira Ltd. as at 31st March, 2023, prepare Comparative Balance Sheet:
- On 1st May, 2023, Amrit Ltd. issued 10,000, 10% debentures of ₹100 each at a premium of 10%, redeemable at a premium of 10%. Loss on issue of debentures will be:
- Gupta and Sharma are partners in a firm sharing profit in the ratio of 4:1. They admitted Preeti as a new partner for \( \frac{1}{4} \) share in the profits, which she acquired wholly from Gupta. The new profit sharing ratio of Gupta, Sharma, and Preeti will be:
- On the dissolution of a partnership firm, there were debtors of ₹34,000. Debtors of ₹1,000 became bad, and 60% was realized from the remaining debtors. Which account will be debited and by how much amount on the realization from debtors?
- If vendors are issued fully paid shares of ₹1,25,000 in purchase consideration of net assets of ₹1,50,000, the balance of ₹25,000 will be credited to:
View More Questions
Top CBSE CLASS XII Journal Entries Questions
- Kanha, Resham, and Nisha were partners in a firm. Nisha had given a loan of \rupee1,00,000 to the firm at 10\% p.a. The accountant of the firm is emphasizing that interest on the loan will be paid at 6\% p.a. At what rate will the interest on the loan be paid to Nisha?
- Pass necessary journal entries for the issue of debentures in the books of RN Ltd. for the following transactions:
(i) Issued 1,000, 10% Debentures of ₹100 each at 5% premium, redeemable at a premium of 10% after 5 years.
(ii) Issued 5,000, 10% Debentures of ₹100 each at a premium of 10%, redeemable at par after 5 years.
Top CBSE CLASS XII Questions
- 2, b, c are in A.P. and the range of determinant $\begin{vmatrix}1&1&1\\ 2&b&c\\ 4&b^{2}&c^{2}\end{vmatrix}$ is [2, 16]. Then find range of c is
- A boy of mass 50 kg is standing at one end of a, boat of length 9 m and mass 400 kg. He runs to the other, end. The distance through which the centre of mass of the boat boy system moves is
- A capillary tube of radius r is dipped inside a large vessel of water. The mass of water raised above water level is M. If the radius of capillary is doubled, the mass of water inside capillary will be
- A circular disc is rotating about its own axis. An external opposing torque 0.02 Nm is applied on the disc by which it comes rest in 5 seconds. The initial angular momentum of disc is
- A circular disc is rotating about its own axis at uniform angular velocity \(\omega.\) The disc is subjected to uniform angular retardation by which its angular velocity is decreased to \(\frac {\omega}{2}\) during 120 rotations. The number of rotations further made by it before coming to rest is
View More Questions