Why interest on partner's loan is not transferred to his capital account?

Why interest on partner's loan is not transferred to his capital account?
What is the logic for transferring it to his current account/ loan account or
accrued interest account?

Question Posted / shweta.gosain

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Why interest on partner's loan is not transferred to his capital account? What is the logic f..

Answer / kumar

Partners capitals are fixed it will not change throughout year, comes interest on capital it will changes based decision of the partners.

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