Questions
The liability of partners is
- individual
- joint and several
- optional
- limited
Which of the following is not an example of misconduct sufficient to dissolve the firm by court?
- A partner caught traveling without ticket
- Adulterous relations of partner
- Fraudulent breach of trust by partner
- To come late to office very often
At the time of dissolution of firm, ____ debts are settled first out of firm`s property.
- outsiders secured
- outsiders unsecured
- private debts of partners
- any of these
Which of the following is not the implied authority of a partner?
- To employ servant for the firm.
- To open a bank account in name of firm.
- To pledge goods for borrowing money for firm.
- To settle accounts of the persons dealing with firm.
Which of the following is not a statutory restriction on implied authority of partners?
- To settle a suit on behalf of firm
- To sale the building of firm
- To submit a dispute of firm to arbitration
- To defend an action against the firm
The true test to determine the partnership relation is
- sharing of profits
- sharing of losses
- mutual agency
- partnership deed
Partnership at will continues for
- one year
- a particular venture
- a definite period
- an indefinite period
A firm may get registered
- at the time of starting only
- one month after starting business only
- one month before starting business only
- any time
The liability of partners is
- individual
- joint and several
- optional
- limited
The act done by a partner under his authority and in the good faith
- is binding upon the firm
- is binding upon the partner himself
- is optional for the firm to assume
- does not bind anyone
A notice to the active partner serves like notice to the
- partner
- firm
- world
- state
If a minor chooses to become a partner on attaining majority, normally he becomes liable to third parties for the acts of firm from the date
- of notice
- of his attaining majority
- of his admission to partnership firm
- as he desires
In absence of any contract, a partner
- may be expelled by majority of partners
- may be expelled by consent of all other partners
- may not be expelled by partners
- none of these
The rights and liabilities of an expelled partner
- do not arise at all
- are as that of active partners
- are as that of a retiring partner
- are decided by the court
Garner V. Murray case is applicable in case of
- insolvency of partners
- solvency of partners
- dissolution by will
- none of these
A, B and C were partners in a firm, in which only A has made contribution as capital. A dies and his wife claimed to be partner in his place. B has objection against it. In this case,
- his wife can become the partner
- the firm will have to dissolve
- A and Mrs. B can become partners
- none of these
The liability of each partner of a firm is
- unlimited
- limited
- reasonable
- as decided by the court
The deficiency on account of insolvency is borne by the solvent partners in ________ ratio(s).
- equal
- profit sharing
- capital
- any of these
A firm does not enjoy
- limited liability
- perpetual succession
- transferability of shares
- all of these
The amount brought by incoming partner in addition to his capital is called
- goodwill
- gift
- premium
- capital
If a partnership continues to run even after completion of particular venture for which it is formed, it becomes
- illegal partnership
- co-ownership
- unlimited company
- partnership at will
Who among the following partners cannot bind the firm by his acts?
- Active partner
- Minor partner
- Sub-partner
- Nominal partner
Which of the following is not a liability of a minor partner?
- No personal liability for the acts of firm.
- It is limited to the extent to his share in property of firm.
- He is not liable even in insolvency of firm.
- He has unlimited liability.
The acts done by partner under his implied authority are not applicable if
- acts are done in his capacity as partner.
- acts are related to firm's business.
- acts are done in the name of firm.
- acts are done in personal capacity.