Under the fixed capital method, the partner's capital account:

1. Because only capital introduced and capital withdrawn pass through it, the account cannot be driven negative by losses or drawings. 2. The textbook states that the capital account will always show a credit balance under the fixed capital method. 3. The current account is the one that may show either a debit or a credit balance. 4. Under the fluctuating capital method the capital account generally shows a credit balance but may also show a debit balance. 5. The word always, applied to the fixed method, is what distinguishes the two. _Source: TN HSC Class 12 Accountancy (Samacheer Kalvi, Govt of Tamil Nadu), Unit 3 "Accounts of Partnership Firms - Fundamentals", §3.6.3_