Partnership Act 1932 MCQs

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Partnership is the relation between persons who have agreed to share the profits of a business carried on by all or any of them acting for all.
Partnership Act 1932 MCQs

Partnership Act 1932 MCQs

Partnership is the relation between persons who have agreed to share the profits of a business carried on by all or any of them acting for all. Here on MCQs.club we have written easy useful Multiple-Choice Questions (MCQs) on partnership act 1932 that fully cover Indian partnership act 1932, partnership act 1932 notes/ summary/ definition/ bare act, ip act 1932 MCQs, these also explain types of partners in partnership act 1932. These partnership at will Indian partnership act mcqs with answers are useful for Professional Accountancy exams, Competitive exams, Business management exams.

  1. Partnership – is the relation between persons who have agreed to share the profits of a business carried on by all or any of them acting for all.
    1. True
    2. False
  1. Firm and partners – Persons who have entered into partnership with one another are called individually “partners” and collectively “a firm” and the name under which their business is carried on is called the “firm name”.
    1. The above definition is correct
    2. The above definition is incorrect
  1. Act of firm – An act of firm means any act or omission by all the partners, or by any partner or agent of the firm which gives rise to a right enforceable by or against the firm
    1. The above definition is incorrect
    2. The above definition is correct
  1. Essential elements of a partnership include:
      1. Association of two or more persons
      2. Agreement
      3. Sharing of profit
      4. Business
      5. Mutual agency
    1. All of the above
    2. (I) and (III) only
    3. (I) (IV) and (V) only
    4. None
  1. All of the following are correct EXCEPT:
    1. The partnership is an association between two or more persons and all persons must be competent to contract.
    2. There can be no partnership consisting of a single individual.
    3. The partnership Act 1932 limits the number of partners to 50.
    4. If the number gets reduced to one, for any reason, it ceases to be a partnership.
  1. The written agreement is known as:
    1. Memorandum of Association
    2. Articles of Association
    3. Partnership deed
    4. None
  1. Partnership arises from:
    1. Joint Family Business
    2. Operation of law inheritance
    3. Succession
    4. None
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