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The capital balance of a partner in a partnership was R500 000 on 28 February 2023 (end of the financial year) after an increase in capital contribution of R100 000 was recorded on 01 December 2022. If the partner earns interest on capital at a rate of 12% per annum, how much interest did the partner earn for the financial year ended 28 February 2023? A. R63 000B. R60 000C. R51 000D. R57 000

The capital balance of a partner in a partnership was R500 000 on 28 February 2023 (end of the financial year) after an increase in capital contribution of R100 000 was recorded on 01 December 2022. If the partner earns interest on capital at a rate of 12% per annum, how much interest did the partner earn for the financial year ended 28 February 2023? A. R63 000B. R60 000C. R51 000D. R57 000

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The capital balance of a partner in a partnership was R500 000 on 28 February 2023 (end of the financial year) after an increase in capital contribution of R100 000 was recorded on 01 December 2022. If the partner earns interest on capital at a rate of 12% per annum, how much interest did the partner earn for the financial year ended 28 February 2023?

A. R63 000
B. R60 000
C. R51 000
D. R57 000

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