Dan and Baker are in partnership with capital of N50,000 and N30,000 each. The partnership agreement provides that:
(i) profits be shared in the ratio of capital. 
(ii) Baker be paid a salary of N8,000.
(iii) both partners earn interest on capital at 6% p.a.
(iv) both partners pay interest on drawing at 6% p.a. 
At the end of the year, Dan drew N15,000 while Baker drew N14,000 in four installment on 31/3,30/6,30/9 and 31/12. The net profit for the year was N48,000. N5,000 is to be written off the Goodwill account.

What is the interest on the drawing by Baker?

Similar Questions

The Accounting term used to describe a partnership firm that stops operation and disposes its assets...

A subsidiary record is a book ...

Reducing balance method charges depreciating as fixed percentage of the ...

Which of the following transactions is a revenue expenditure? ...

Gross profit in the branch adjustment account is transferred to the branch? ...

Which of the following statements is not valid? ...

If a trail balance is in agreement, one of the statement is untrue ...

Use the following to answer the given question \( \begin{array}{c|c} \text{Purchases} & 2,0...

\(\begin{array}{c|c} & N \\ \hline \text{Opening stock of raw materials} & 8,000\\ \text{Pur...

Yinka bought goods worth N800.00 and sold at a margin of 20% on selling price. How much did she sell...