Question

In the absence of partnership deed, what are the rules relating to-
(a) salary of partners.
(b) interest on partners 'capital'
(c) interest on partner's drawing's.
(d) Interest on partner's loan.

Answer 1

Hello..

In the absence of partnership deed...

a)Salary of partners - not allowed .

b)Int. on partner's capital - not allowed

c)Int. on partner's drawings - not allowed

d)Int. on partner's loan - @ 6% p.a.

hope it helps..