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Types of Partners

Total questions: 10

Worksheet time: 5mins

Name
Class
Date
1.

Who , as a partner has unlimited liability?

a)

Active and Secret partners

b)

Nominal Partners and sleeping partners

c)

All of the above

d)

Only a option

2.

Which partner doesnot contribute capital but still has unlimited liability?

a)

Secret

b)

Nominal

c)

Active

d)

Sleeping

3.

To start a partnership business, what should be the minimum number of partners?

a)

2

b)

10

c)

4

d)

20

4.

In partnership, partners liabilities are

a)

Unlimited

b)

Limited to the capital of the business

c)

Limited

d)

Both A and C

5.

State which of the statements is true?

a)

Partner is an agent of the firm

b)

Partner is owner of the firm

c)

Partner is director of the firm

d)

None of the above

6.

Which of the following is a strong but not sufficient test of partnership

a)

sharing of profits

b)

sharing of losses

c)

either of the two

d)

none of the above

7.

In which of the following cases, a partnership exist:

a)

Several persons jointly purchase goods for resale with a view to

divide the profits arising from the transaction.

b)

Persons (co-owners) who join in the purchase of goods for the

purpose of dividing the goods themselves.

c)

A,B and C agreed that each should furnish Rs. 3000 worth of goods to be shipped on a joint venture, the profits is to be divided between them according to the amount of their several shipments

d)

Two tenants in common of a house and divide the rent equally

8.

In which of the following cases a partnership does not exist?

I. Lender of money receiving profit

II. Servants or agents receiving profit

III. Widow or child of a deceased receiving profits.

IV. Seller of goodwill receiving profits

a)

I, II and III

b)

I, II and IV

c)

II, III and IV

d)

All of the above

9.

Partnership” means

a)

joint venture

b)

agreement between the persons to share the profit of a business carried on between them

c)

agreement between the persons to do some work

d)

none of the above

10.

The relation of partnership according to Section 5 of Indian Partnership Act, 1932 arises from

a)

status

b)

Contract

c)

friendship

d)

None of these