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When a person who has retired leaves their capital in the firm and continues earning but has no management role, what are they called?

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Question

When a person who has retired leaves their capital in the firm and continues earning but has no management role, what are they called?

Options

  • Nominal Partner

  • Quasi Partner

  • Dormant Partner

  • Minor Partner

MCQ
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Solution

Quasi Partner

Explanation:

A quasi partner is a retired member who still earns on the capital left in the firm without managing the business.

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