Multiple choice

Interest on advances by a partner to his firm may be payable

  1. @ 6% per annum

  2. @ 8% per annum

  3. @ 8.5% per annum

  4. at any rate

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Under Section 13(d) of the Indian Partnership Act, 1932, interest on advances by a partner to the firm is payable at 6% per annum unless there's a specific agreement to the contrary. This is the default statutory rate.