Question

Death of a partner is like a compulsory retirement. (State True or False)

Answer 1

YES....

TRUE

DEATH OF PARTNER MEANS COMPULSORY RETIREMENT OF PARTNER..

MAYBE IT HELPS YOU.....

Answer 2

Answer:

The statement is False.

Explanation:

Death of a partner is not a compulsory retirement. In a partnership firm, if there is an agreement in which it is written that the executors of the deceased can continue the partnership in the business, then the death of the partner would not make a compulsory exit or retirement from the business. The partnership can be transferred to the nominated person by the deceased. That person could act as the new partner of the company. So with the death of a partner, it is not compulsory to shut down all business activities from his side or a compulsory retirement, rather the partnership can be continued by a nominated person by the deceased.