Accounting for Partnership Firms – Worksheet Questions
Question 1 (Assertion – Reason)
Assertion (A): Partners’ current accounts under Fixed Capital Method may show a debit or a credit
balance.
Reason (R): In the Fixed Capital Method, all items like share of profit or loss, interest on capital,
drawings, interest on drawings etc. are recorded in their respective partners’ current accounts.
Choose the correct option:
(a) Both A and R are correct and R is the correct explanation of A.
(b) Both A and R are correct but R is not the correct explanation of A.
(c) A is correct, but R is not correct.
(d) Both A and R are not correct.
Question 2
Shrikant and Ajay were partners in a firm sharing profits and losses in the ratio 5 : 3. Shrikant withdrew
₹10,000 in the beginning of each quarter during the year ending 31st March, 2025. Interest on Shrikant’s
drawings @ 6% p.a. will be:
(a) ₹2,400
(b) ₹1,200
(c) ₹1,500
(d) ₹900
Questions 3 & 4 (Based on the following information)
Daksh and Ekansh are partners sharing profits and losses in the ratio 3 : 1.
Their fixed capitals were ₹1,60,000 and ₹1,00,000 respectively.
They are entitled to interest on capital @ 10% p.a.
The firm earned a profit of ₹13,000 for the year ending 31st March, 2025 (before interest).
Q3. Daksh’s interest on capital will be:
(a) ₹5,000
(b) ₹8,000
Question 1 (Assertion – Reason)
Assertion (A): Partners’ current accounts under Fixed Capital Method may show a debit or a credit
balance.
Reason (R): In the Fixed Capital Method, all items like share of profit or loss, interest on capital,
drawings, interest on drawings etc. are recorded in their respective partners’ current accounts.
Choose the correct option:
(a) Both A and R are correct and R is the correct explanation of A.
(b) Both A and R are correct but R is not the correct explanation of A.
(c) A is correct, but R is not correct.
(d) Both A and R are not correct.
Question 2
Shrikant and Ajay were partners in a firm sharing profits and losses in the ratio 5 : 3. Shrikant withdrew
₹10,000 in the beginning of each quarter during the year ending 31st March, 2025. Interest on Shrikant’s
drawings @ 6% p.a. will be:
(a) ₹2,400
(b) ₹1,200
(c) ₹1,500
(d) ₹900
Questions 3 & 4 (Based on the following information)
Daksh and Ekansh are partners sharing profits and losses in the ratio 3 : 1.
Their fixed capitals were ₹1,60,000 and ₹1,00,000 respectively.
They are entitled to interest on capital @ 10% p.a.
The firm earned a profit of ₹13,000 for the year ending 31st March, 2025 (before interest).
Q3. Daksh’s interest on capital will be:
(a) ₹5,000
(b) ₹8,000
