Accounting 0452 · IGCSE · Partnerships

Partnerships — practice question

A partnership keeps both current accounts and capital accounts for every partner. A book-keeper with little experience drew up the account below, but it includes mistakes. Owen capital account: Debit: balance c/d $1350 Credit: balance b/d $1000; loan made to partnership $300; interest on capital $50 What figure should be shown as the closing balance on Owen’s capital account?

  • A\$750
  • B\$1000
  • C\$1050
  • D\$1300

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