Question

assume that you are starting a partnership with frim with your friends develop of business plan covering the following aspects formation of this partnership frame rules and step that would be followed including the partnership deed choice of types of matter in world and your justification for the same

Answer 1

Answer:

Partnership deed is not mandatory but if it is maintain then it is good for partners and for the business also.

Explanation:

Partnership is a written document which contain all the rules and regulation which all the partners are required to follow.

Contents of a partnership deed are:

*Interest on partners capital

*Interest on partners drawing

*The amount of salary , commission, or any other is payable .

*The ratio of sharing profits and losses

*Sharing of managerial work or responsibilities.

If, in a partnership deed, certain items are absent , then the provisions of the Partnership Act 1932 apply.

Rules in the absence of partnership deed are :

* All the partners will divide the profit and loss equally.

*if any partner gave loan to the firm, the firm have to give 6% interest on that loan.

*No salary will given to any partner.

*No interest will be given on the capital.

*Partnership firm will not take interest on his given amount in the form of drawing to any partner.