Question

In case of retirement, if full or part of the amount payable to the retiring partner still remains to be paid, and there is no agreement among the partners then retiring partner will get:

1. Interest @ 6% p.a. on the balance amount.
2. Share of profit earned proportionate to his amount outstanding to total capital of the firm.
3. Interest @ 9% p.a. on the balance amount.

Which out of the following is correct?

Options

• (I)

• (II)

• (III)

• Have a choice to get either (I) or (II)

Answer 1

Have a choice to get either (I) or (II).