Question

2)Revaluation profit is distributed among all partners including new partner. *

1 point

Yes, I agree

I do not agree

​

Answer 1

Answer:

artnership is an agreement between two or more

persons (called partners) for sharing the profits

of a business carried on by all or any of them acting

for all. Any change in the existing agreement

amounts to reconstitution of the partnership firm.

This results in an end of the existing agreement and

a new agreement comes into being with a changed

relationship among the members of the partnership

firm and/or their composition. However, the firm

continues. The partners often resort to reconstitution

of the firm in various ways such as admission of a

new partner, change in profit sharing ratio,

retirement of a partner, death or insolvence of a

partner. In this chapter we shall have a brief idea

about all these and in detail about the accounting

implications of admission of a new partner or an on

change in the profit sharing ratio.

3.1 Modes of Reconstitution of a Partnership

Firm

Reconstitution of a partnership firm usually takes

place in any of the following ways:

Admission of a new partner: A new partner may be

admitted when the firm needs additional capital or

managerial help. According to the provisions of

Partnership Act 1932 unless it is otherwise provided

in the partnership deed a new partner can be

admitted only when the existing partners

unanimously agree for it. For example, Hari and

Haqque are partners sharing profits in the ratio of

Reconstitution of a Partnership Firm –

Admission of a Partner

Answer 2

Answer:

i do not agree

Explanation:

why because it will not include the new partner for example we have a job that is a bank manager and we have a one partner we can remove that partner know we cannot remove that partner why because a partner is very helpful for us that is why the answer is no I do not agree