Partnership Act - Part 3
Questions on : 1)Rights of Partners. 2)Duties of Partners. 3)Posting of a Minor Partner in a Firm. __________________________________________________ No. Of Questions to be Answered : Random 20 out of 45
- 1.Which of the following rights, cannot be claimed by a partner as matter of right?
- A.
Right to share profits
- B.
Right to receive remuneration
- C.
Right to take part in business
- D.
Right to have access to account books.
- 2.Subject to an agreement to the contrary, the right to take part in the business affairs of the firm is available to
- A.
All the partners
- B.
Only managing partners
- C.
Only senior partners
- D.
Manager of the firm.
- 3.It is the rights of every partner to be consulted in
- A.
The matters affecting the interest of concerned partner only.
- B.
All matters affecting the business of the firm.
- C.
Ordinary matters only but not in fundamental matters.
- D.
None of these, as no such right is provided to the partners.
- 4.In a partnership firm, every partner has the right
- A.
To be consulted on all matters affecting the business of the firm.
- B.
To express his opinion before any matter affecting firm business is decided.
- C.
Both of these
- D.
None of these.
- 5.In a partnership firm, the difference of option over 'ordinary matter's can be settled by the decision of
- A.
All the partners.
- B.
Majority of partners.
- C.
Senior partners.
- D.
Managing partner.
- 6.In a partnership firm, the difference of opinion over some 'fundamental matter' can be settled by the decision of
- A.
All the partners
- B.
Majority of partners
- C.
Senior partners
- D.
Managing partner.
- 7.Subject to an agreement to the country, a change in the matters affecting the partnership business.
- A.
Can be effected with the consent of majority partners.
- B.
Can be effected with the consent of all the partners.
- C.
Cannot be effected at all as it is not authorised under the Act.
- D.
Is one of the ground of compulsorily dissolution of firm.
- 8.The 'fundamental matters' with can be decided with the consent of all the partners, include the question of any
- A.
Alteration of business
- B.
Addition to the business
- C.
Admission of a new partner
- D.
All of these.
- 9.In the absence of any agreement, the partners are not entitled to receive any interest on their contribution towards capital.
- A.
Equally
- B.
In the ratio of capital
- C.
In the ratio of loan advanced
- D.
As decided by Registrar.
- 10.In the absence of any agreement. The partners are not entitled to receive any interest on their contribution towards capital.
- A.
True
- B.
False
- 11.Where a partner is entitled to interest on capital contributed by him, the interest shall be payable
- A.
Out of capital only
- B.
Out of profits only
- C.
Either (a) or (b)
- D.
None of these.
- 12.In the absence of any agreement, the interest to partners on the amount of loan advanced to the firm, it slowed at
- A.
4% per annum
- B.
6% per annum
- C.
8% per annum
- D.
Market rate.
- 13.The interest to a partner, on the amount of loan advanced by him, is payable even if the firm suffers losses.
- A.
True
- B.
False
- 14.A partners of a firm has right to recover form the firm, the expenses incurred in
- A.
The ordinary course of business
- B.
An emergency to protect the firm property.
- C.
Both (a) and (b)
- D.
Only (b).
- 15.In the absence of a specific agreement, a partner is not entitled to receive any remuneration form the firm for taking part in the affairs of the firm.
- A.
True
- B.
False
- 16.A working partner who receives certain remuneration form the firm as per the express agreement, becomes an employee of the firm.
- A.
True
- B.
False
- 17.Partners duty of good faith cannot be excluded by an agreement to the contrary,
- A.
True
- B.
False
- 18.The duty of good faith implies that partners are bound to be just and faithful to each, other and is provided in _________
- A.
Section 8
- B.
Section 9
- C.
Section 10
- D.
Section 11
- 19.In addition to the duty to be just and faithful to each other, which other duties of partners are provided in Section 9 of the Indian Partnership Act 1932?
- A.
Duty to carry on firm business to the greatest common advantage.
- B.
Duty to render the true accounts.
- C.
Duty to give full information of all things affecting the firm.
- D.
All of these.
- 20.If some loss is caused to the firm due to the fraud of a particular partner, then it is the
- A.
Duty to guilty partner to indemnify the firm.
- B.
Duty of all partners to jointly indemnify the firm.
- C.
Right of the firm to recover loss from the guilty partner.
- D.
Both (b) and (c).
- 21.Duty to indemnify the firm for losses caused by partner's fraud is an absolute duty and
- A.
Cannot be excluded by an agreement to the contrary.
- B.
Can only be excluded by an agreement to the contrary.
- C.
Makes the guilty partner liable for imprisonment.
- D.
Both (a) and (c).
- 22.Where some loss is caused t o the third party due to the fraud of one of the partners, then the firm is
- A.
Liable to the third party .
- B.
Not liable to the third party.
- C.
Entitled to recover loss from t he guilty partner.
- D.
Both (a) and (c).
- 23.Partner's duty to indemnity the firm for losses caused by his fraud is provided in
- A.
Section 9
- B.
Section 10
- C.
Section 11
- D.
Section 12
- 24.Which of the following statement is incorrect ?
- A.
It is the duty of every partner to attend diligently to the affairs to the affairs of firm business.
- B.
If firm suffers some loss due to 'willful neglect' of partner then he is bound to compensate the firm.
- C.
Partner's duty to attend diligently cannot be excluded by an agreement to the contrary.
- D.
Partner's duty to attend diligent can be excluded by an agreement to the contrary.
- 25.It is the duty of every partner to share in equal proportions the losses suffered by the film.
- A.
True, as losses are always shared equally.
- B.
False, as partners may agree to share losses in different proportions.
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