In a partnership firm A and B are 2 partners. C is the manager of the firm and firm suffers loss this year. No interest on capital, salary to be allowed to any partner by firm's manager. A demands salary because he did extra work and B demands interest on capital because his share of capital is more than A. But C denies to both partners. Who is right and wrong in this situation?

A is wrong, B is wrong, C is right A is right, B is wrong, C is right A is wrong, B is right, C is wrong A is right, B is right, C is wrong

A is wrong, B is wrong, C is right

In case firm suffers a loss, no interest on capital, salary, remuneration is to be allowed to partner. When the business firm faces loss, the interest on capital, salary etc will not be provided. If there is insufficient profit, that is, the net profit is less than the total amount of all appropriation of partners, then appropriation is made.