Final answer:
Periodic withdrawals by partners in a partnership are best viewed as payments for partners' personal services to the partnership. The correct answer is d).
Step-by-step explanation:
Periodic withdrawals by partners in a partnership are best viewed as d. Payments for partners' personal services to the partnership.
Partners can withdraw money from the partnership as compensation for the personal services they provide to the partnership. These withdrawals are not taxable income to the partners, as they are treated as payments for the partners' contributions to the partnership's business operations.
For example, if a partner manages the day-to-day operations of the partnership, they may receive periodic withdrawals as compensation for their services.