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Death is a compulsory ______. - Book Keeping and Accountancy

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Question

Death is a compulsory ______.

Options

  • Dissolution

  • Admission

  • Retirement

  • Winding-up

MCQ
Fill in the Blanks
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Solution

Death is a compulsory retirement.

Explanation:

A partner will cease to be a partner on his death and hence death is considered as compulsory retirement. Partnership business may be continued by surviving partners if partnership firm makes provision in Partnership Deed.

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Chapter 5: Reconstitution of Partnership (Death of Partner) - Exercise 5.1 (Objective Questions) [Page 200]
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