Multiple Choice
The statement concerning drawings by partners in a partnership that is true is:
A) Interest is charged on drawings if the partnership agreement is silent on the matter
B) Charging interest on drawings acts as an incentive to partners to withdraw money from the partnership
C) Drawings are generally regarded as withdrawals of future profits
D) Drawings are taken into account when calculating the final distribution of profit between the partners
Correct Answer:
Verified
Correct Answer:
Verified
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