Multiple choice

Section 13 (d) of the Indian partnership Act states the right of a partner to interest on advances.

  1. True

  2. False

  3. Partly true

  4. Cannot say
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A Correct answer
Explanation

Section 13(d) of the Indian Partnership Act, 1932 gives a partner the right to interest on advances (not capital) made to the firm beyond the agreed amount, at the rate of 6% per annum unless otherwise agreed. This is a correctly stated legal provision.

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