Indian Partnership Act - Practice Test

[#546] The court can order for dissolution of firm under section 44(d) of the Act, where a partner is guilty of

(A) Wilful & persistent branch of agreement for management of affairs or conduct of business, of the firm

(B) Conducting in such a manner making it not reasonable practical for other partners to carryon business in partnership with him

(C) Either (A) or (B)

(D) Both (A) and (B)

Correct Answer

(C) Either (A) or (B)

[#547] A person is liable as a partner of a partnership firm only if he is a partner by an express written contract.

(A) No, a person is liable as a partner by an implied contract provided thereafter the implied contract is got registered before the Sub Registrar

(B) No, a person is liable as a partner even by holding himself out as a partner of the partnership firm but only to that person who has on the faith of such holding out has given credit to the partnership firm

(C) A person who holds himself out as a partner will be liable as a partner of the firm only when the third person who deals with the partnership firm has informed the person holding out that he is acting with the firm on the basis of such holding out

(D) A person holding out is liable to a third person only if the third person has given a public notice

Correct Answer

(B) No, a person is liable as a partner even by holding himself out as a partner of the partnership firm but only to that person who has on the faith of such holding out has given credit to the partnership firm

[#548] Is a partner entitled to receive remuneration for the conduct of the business of the firm?

(A) Yes if there is such a contract between all the partners

(B) No not under any circumstance

(C) Yes if he alone is conducting the business of the firm

(D) Yes if he is working more than others

Correct Answer

(A) Yes if there is such a contract between all the partners

[#549] Which of the following is not true of an Indian partnership?

(A) It is result of an agreement

(B) It is for carrying on a business

(C) The partners agree to share profits

(D) The business must be carried on and managed by all

Correct Answer

(D) The business must be carried on and managed by all

[#550] A minor, who has been admitted to the benefits of the partnership, under Section 30(5) of the Indian Partnership Act on attaining majority has to exercise an option, to stay or to leave the firm, within

(A) One month of attaining majority

(B) Six months of attaining majority

(C) 90 days of attaining majority

(D) None of the above

Correct Answer

(B) Six months of attaining majority

Indian Partnership Act - Study Mode

[#546] The court can order for dissolution of firm under section 44(d) of the Act, where a partner is guilty of

Correct Answer

[#547] A person is liable as a partner of a partnership firm only if he is a partner by an express written contract.

Correct Answer

[#548] Is a partner entitled to receive remuneration for the conduct of the business of the firm?

Correct Answer

[#549] Which of the following is not true of an Indian partnership?

Correct Answer

[#550] A minor, who has been admitted to the benefits of the partnership, under Section 30(5) of the Indian Partnership Act on attaining majority has to exercise an option, to stay or to leave the firm, within

Correct Answer