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State whether the following statement is True or False with reason. A deceased partner is not entitled to the Goodwill of the firm. - Book Keeping and Accountancy

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Question

State whether the following statement is True or False with reason.

A deceased partner is not entitled to the Goodwill of the firm.

Options

  • True

  • False

MCQ
True or False
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Solution

This statement is False.

A deceased partner’s contribution was there in the development of business and goodwill is the value of the business in terms of money. Hence, a deceased partner is entitled to receive the goodwill of the firm.

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Chapter 5: Reconstitution of Partnership (Death of Partner) - Exercise 5.1 (Objective Questions) [Page 201]

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Balbharati Book-Keeping and Accountancy [English] Standard 12 Maharashtra State Board
Chapter 5 Reconstitution of Partnership (Death of Partner)
Exercise 5.1 (Objective Questions) | Q 1. C. 1. | Page 201
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