Question

Which of the following accounts could be found in the general ledger of a partnership?Income Tax Expense Interest Expense on Partner loansA) No NoB) Yes YesC) Yes YesD) No YesA. Option AB. Option BC. Option CD. Option D

Answer 1

Answer:

Option D

Explanation:

Under the partnership accounts, income tax expense is not shown in general ledger account, though the interest expense on partner's loan account is shown in general ledger.

As the interest expense on partner loans is a general item, whereas income tax expense is monthly, common item for each business and not specific to partnership accounts.

Thus, correct answer is

D) No Yes

Option D