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When is a firm compulsorily dissolved under Section 41 of the Partnership Act, 1932?
  • a)
    When a partner retires
  • b)
    When all partners but one are adjudicated insolvent
  • c)
    On the admission of a new partner
  • d)
    When partners change the profit-sharing ratio
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
When is a firm compulsorily dissolved under Section 41 of the Partners...
A firm is compulsorily dissolved under Section 41 when all partners but one are adjudicated insolvent, as a partnership cannot exist without at least two partners.
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When is a firm compulsorily dissolved under Section 41 of the Partnership Act, 1932?a)When a partner retiresb)When all partners but one are adjudicated insolventc)On the admission of a new partnerd)When partners change the profit-sharing ratioCorrect answer is option 'B'. Can you explain this answer?
Question Description
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