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A and B are partners in a firm. The partnership deed provides that interest on drawings will be charged at 6% per year. During the

A and B are partners in a firm. The partnership deed provides that interest on drawings will be charged at 6% per year. During the year ended 31st December, 2019, A withdrew Kshs.2500 at the beginning of each month and B withdrew Kshs.2,500 at the end of each month. Calculate interest on the partners’ drawings. Is there any difference in the way the two partners made their withdrawals? Explain. (4 Marks) b) Ali and Amit started their partnership on 1st January, 221 with a capital of shs.100,000 and shs.160,000 respectively. Ali introduced additional capital of 30,000 on July 1, 2021 and another 20,000 on October 31, 2021. Calculate interest on capital for the year ending 2021. The rate of interest is 6% per year. (6 Marks

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