Arnold runs a partnership with Bradley. The financial year closes on 31 December. Under one clause of their partnership agreement, drawings attract interest each month at $5\%$ per annum. During the year, Arnold withdrew the following amounts on these dates. 31 March: $\$6\,000$ 30 June: $\$10\,000$ 30 September: $\$12\,000$ 31 December: $\$8\,000$ How should the partnership's appropriation account deal with the interest on drawings?
- A$\$625$ added to profit for the year
- B$\$625$ deducted from profit for the year
- C$\$775$ added to profit for the year
- D$\$775$ deducted from profit for the year