What is the net movement in the current account of Thomas in respect of interest on drawings and interest on capital?
Thomas and Anna are in a partnership sharing profits and losses equally. The partnership agreement states that interest on drawings is to be charged at a rate of 10% and interest on capital credited at the rate of 6%. The following information is available about the partners' transactions. The partnership has a year end of 31 December 20X1

A) Debit of £7,267
B) Credit of £7,267
C) Debit of £11,933
D) Credit of £11,933
Correct Answer:
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