Question

State whether the following statement are True or False.

Partners must share profits and losses equally.

विकल्प

• True

• False

Answer 1

False.

Explanation: It is not mandatory for the partners to share profits and losses equally amongst themselves. They can share the benefits in any ratio as decided. The profits or losses will be distributed equally only when they agree or when the partnership deed is silent in this respect. Hence, the given statement is false.