Question

1. On admission of a new partner, the sacrifice a share of their profit in favour of the new partner. (A) Old partners (B) New Partners (CT All partners (D) None of these 2. A share of 3 10 originally issued at par on which application and allotment money of * 7 has been received was forfeited. What will be the maximum permissible discount which a company can allow at the time of reissue of this forfeited share? (A) 10 (B) 7 (D) 13 (C) 3​

Answer 1

Answer:

With the admission of a new partner, there is a reconstitution of the partnership firm and all the partners get into a new agreement for carrying out the business of the firm. The following conditions led to the addition of a new partner: When the firm is in an expansion mode and requires fresh capital.