Interest on Drawings (IOD) Class 12 | CH-1 Partnership Fundamentals | By Anuj Sir || CLASS-08

Welcome to today’s Class 12 Accountancy lecture on Chapter 1: Fundamentals of Partnership. In this video, we will cover the topic IOD (Interest on Drawings), an important adjustment in the Profit & Loss Appropriation Account. Interest on Drawings (IOD) refers to the amount charged by the firm from its partners when they withdraw money for personal use during the accounting period. -It is charged as per the agreement between the partners. -The interest amount depends on the amount withdrawn, the time of withdrawal, and the rate of interest decided. -IOD is treated as an income for the firm and is credited to the Profit & Loss Appropriation Account. -The amount is debited to the partner’s capital/current account. In this video, you will learn how to calculate interest on drawings using different methods with proper examples and formulas based on the NCERT syllabus. 🔖 Hashtags: #InterestOnDrawings #IOD #Class12Accountancy #FundamentalsOfPartnership #PartnershipAccounting #AccountancyLecture #NCERTAccountancy #Class12Commerce #PartnershipFirm #Accountancy2025 🔑 Keywords: Interest on Drawings, IOD meaning, Class 12 Accountancy, Drawings in Partnership, Calculation of Interest on Drawings, Accountancy Chapter 1, NCERT Accountancy, Commerce Class 12, Partnership Adjustments, CBSE Class 12 Accounts 📜 Copyright Disclaimer: This video is made purely for educational purposes. All rights reserved. If you have any copyright concerns, please contact us for immediate resolution. 📢 Subscribe Note: If you found this video helpful, please Subscribe to our channel for more Accountancy lectures, exam tips, and detailed explanations of Class 12 topics. Hit the bell icon 🔔 so you never miss an update! 🙏 Thank you for watching! Feel free to comment your doubts below — we will be happy to help. Don’t forget to like and share this video with your classmates.