The surplus of Rs. 90,000 on dissolution after paying off the liabilities and debts of the partnership firm the remaining amount is distributed among partners in their profit sharing ratio.

A partner has paid a premium of Rs. 120000 on entering into partnership for a fixed term of 3 years. But after two years, the firm got dissolved. The partner claims Rs. 40000 premium refund. Is he eligible to get?

M, a partner, made a payment of 50,000 towards the debts of the firm. On dissolution, he is entitled to be ranked as a creditor.

A joint Hindu family business is governed by the principles of Hindu law.

Where the partnership Act is silent on any point or provision, the general principles of the law of Contract apply.

Mutual agency in relation to partnership is when business is carried on by all the partners or any one of them acting for all.

The assets of the firm to the tune of Rs. 60000 are sufficient to discharge the debts and liabilities of the partnership firm. In such a situation, the partners A, B and C bear deficiency in the proportion of profit sharing ratio 3; 4: 3 as per the partnership deed.

The deficiency of capital of the insolvent partner to the tune of Rs. 80,000 gets distributed among solvent partners B and C where capitals of Rs. 40000, Rs. 40000 respectively between B and C.

Section 12 (a) of the Indian partnership Act states the right of a partner to take in the conduct of the business.

In the absence of any contract to the contractry, settlement of accounts be affected on dissolution as follows : (i) losses, including deficiencies of capital, shall be paid first out of profiles, next out of capital and lastly, if necessary, by the partner individually in the proportions in which they were entitled to share points and (ii) the assets of the firm, including any sums contributed to the partners to make up deficiencies of capital.

Section 13 (d) of the Indian partnership Act states the right of a partner to interest on advances.

Section 13 (e) of the Indian partnership Act states the right of a partner to indemnity.

Section 13 (b) of the Indian partnership Act states the right of a partner to share the profits and duty to contribute to the losses.

Owing to non registration of the firm (i) no suit can be filed in a civil court by a partner against the firm or other partners, (ii) no suit in a civil court by firm against their partner, can not make claim of set off.

A partner can transfer his interest to an outsider with the consent of all other partners.

Section 12 (ca) of the Indian partnership Act states the right of a partner to be consulted.

Section 25 of the Indian partnership Act provides for duty of a partner to be liable jointly and severally and is unlimited.

Absolute duties of partners are: (1) imposed by law, (2) not subject to a contract to the contrary and (3) mandatory in nature.

Section 12 (d) of the Indian partnership Act states the right of a partner to access, inspect and have a copy of the books of the firm.

Section 12 (b) of the Indian partnership Act states the duty of the partner to attend diligently to his duties.

Section 29 of the Indian partnership Act states the duty of every partner to indemnify for willful neglect, which means failure to perform a duty or to do something which a partner ought not to have done intentionally and deliberately.

A and B are the partners in a business as wheat sellers. B was the authorized dealer to buy wheat for the firm. He without A's knowledge, supplied to the firm his own wheat at the market price which he had bought at a lower price and thus made a considerable profit. Is B liable to account for profit?

Section 14 of the Indian partnership Act deals with the property of the firm. If the private property of a partner is used for the purpose of the business, it becomes the property of the firm only if the partners show to make it so.

Section 29 of the Indian partnership Act states the duty of the partner not to assign his interest.

In case of trading merchants, a partner buys wheat. In this case the firm will not be bound because it is outside the implied authority of the partner.

Mutual rights and duties of the partners of a firm may be determined by the contract between the partners.

A agrees with B to carry passengers by taxi from Delhi to Faridabad on the following terms, namely, B is to pay A Rs. 200 per kilometer per annum and to divide equally between them the proceeds of fares received from passengers. Choose the correct alternative.

M, a resident of one country and N, a resident of another country are partners of export and import business. War breaks out between two countries. In such a case partnership becomes unlawful and is dissolved automatically.