Tag: dissolution of partnership

Questions Related to dissolution of partnership

Date of compulsory dissolution for Partnership firm is the ________.

elements of business partnership 1 - meaning, definition, characteristics and kinds types of partnership types of partnerships dissolution of partnership

  1. date of order of court

  2. date of applying for court

  3. date when firm closes its business

  4. none of the above

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Correct Option: A

Reconstitute of firm takes place expect in case of _________.

elements of business partnership 1 - meaning, definition, characteristics and kinds types of partnership types of partnerships dissolution of partnership

  1. admission of partner

  2. retirement of partner

  3. change in profit sharing ratio

  4. insolvency of partner

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Correct Option: C

When firm is compulsory dissolved?

elements of business partnership 1 - meaning, definition, characteristics and kinds types of partnership types of partnerships dissolution of partnership

  1. All the partners are insolvent.

  2. Firms business become unlawful.

  3. All but not one become insolvent.

  4. All of the above.

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Correct Option: B

After dissolution, the authority to bind the Firm, other mutual rights and liabilities of Partners continue, in so far as may be necessary _____________.

elements of business partnership 1 - meaning, definition, characteristics and kinds types of partnership types of partnerships dissolution of partnership

  1. to wind up the affairs of the Firm

  2. to complete the transaction that had begun but left unfinished at the time of dissolution

  3. either (a) or (b)

  4. both (a) and (b).

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Correct Option: D

The Mode of Dissolution of Firm, under Indian Partnership Act, 1932 is______.

elements of business partnership 1 - meaning, definition, characteristics and kinds types of partnership types of partnerships dissolution of partnership

  1. illustrative

  2. inclusive

  3. exhaustive

  4. none of the above.

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Correct Option: B

The compulsory dissolution of a firm will arise in case of __________.

elements of business partnership 1 - meaning, definition, characteristics and kinds types of partnership types of partnerships dissolution of partnership

  1. on the death of majority of partners

  2. on the insolvency of all partners

  3. in case of continuous losses

  4. in case of dead lock of management

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Correct Option: B

On the dissolution of a Firm, every Partner or his representative is entitled to have the __________ applied in payment of the debts and liabilities of the Firm.

elements of business partnership 1 - meaning, definition, characteristics and kinds types of partnership types of partnerships dissolution of partnership

  1. business of the firm

  2. goodwill of the firm

  3. property of the firm

  4. assets of the firm.

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Correct Option: C

On which of the following grounds all or any one of the Partner can apply to the court for Dissolution?

elements of business partnership 1 - meaning, definition, characteristics and kinds types of partnership types of partnerships dissolution of partnership

  1. Perpetual Losses

  2. Unsound mind of a Partner

  3. Misconduct

  4. All of these.

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Correct Option: D

For Dissolution of a Firm, Partners may apply to the Court on the ground of_______.

elements of business partnership 1 - meaning, definition, characteristics and kinds types of partnership types of partnerships dissolution of partnership

  1. insanity of partner

  2. misconduct of partner

  3. perpetual losses in business

  4. all of the above.

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Correct Option: D

Upon dissolution of Firm, the Surplus left after settlement of the debts and liabilities of the Firm shall be ______________.

elements of business partnership 1 - meaning, definition, characteristics and kinds types of partnership types of partnerships dissolution of partnership

  1. credited to the Reserve Account

  2. credited to the Government of India A/c

  3. distributed among the Partners equally

  4. distributed among the Partners according to their rights.

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Correct Option: D