Commerce Exam > Commerce Videos > Accountancy Class 12 > Guarantee of Profit to a Partner
Guarantee of Profit to a Partner Video Lecture | Accountancy Class 12 - Commerce
FAQs on Guarantee of Profit to a Partner Video Lecture - Accountancy Class 12 - Commerce
| 1. What is a guarantee of profit in a partnership? |  |
Ans. A guarantee of profit in a partnership refers to an agreement where one partner ensures that another partner will receive a certain minimum amount of profit, regardless of the actual earnings of the business. This arrangement can provide financial security for the partner receiving the guarantee.
| 2. How is a guarantee of profit typically structured in a partnership agreement? | |
Ans. A guarantee of profit is usually detailed in the partnership agreement, specifying the amount guaranteed, the duration of the guarantee, and the conditions under which it applies. It may also outline how profits are calculated and any potential adjustments based on business performance.
| 3. What are the potential risks of providing a guarantee of profit to a partner? | |
Ans. Providing a guarantee of profit can pose several risks, including financial strain on the guaranteeing partner if the business does not perform well. It may also lead to unequal profit-sharing dynamics, potential conflicts among partners, and a decrease in motivation for the guaranteed partner to contribute to the business's success.
| 4. Can a guarantee of profit be revoked or modified? | |
Ans. Yes, a guarantee of profit can typically be revoked or modified, but this process must be agreed upon by all partners involved. It should be documented formally in writing to ensure clarity and avoid potential disputes in the future.
| 5. What legal implications should partners consider with a profit guarantee? | |
Ans. Partners should consider several legal implications, such as the enforceability of the guarantee under local laws, tax implications, and the potential for disputes arising from unmet profit expectations. Consulting with a legal professional is advisable to ensure that the partnership agreement complies with relevant regulations and protects all parties involved.
About this Video
4K Views
4.76/5
Rating
Sep 03, 2025
Last updated
Video Description: Guarantee of Profit to a Partner for Commerce 2025 is part of Accountancy Class 12 preparation.
The notes and questions for Guarantee of Profit to a Partner have been prepared according to the Commerce exam syllabus.
Information about Guarantee of Profit to a Partner covers all important topics for Commerce 2025 Exam.
Find important definitions, questions, notes, meanings, examples, exercises and tests below for Guarantee of Profit to a Partner.
Introduction of Guarantee of Profit to a Partner in English is available as part of our Accountancy Class 12 for Commerce & Guarantee of Profit to a Partner in
Hindi for Accountancy Class 12 course. Download more important topics related with notes, lectures and mock test series for
Commerce Exam by signing up for free.
Description
Video Lecture & Questions for Guarantee of Profit to a Partner Video Lecture | Accountancy Class 12 - Commerce - Commerce full syllabus preparation | Free video for Commerce exam to prepare for Accountancy Class 12.
Information about Guarantee of Profit to a Partner
Here you can find the meaning of Guarantee of Profit to a Partner defined & explained in the simplest way possible.
Besides explaining types of Guarantee of Profit to a Partner theory, EduRev gives you an ample number of questions to practice Guarantee of Profit to a Partner tests,
examples and also practice Commerce tests.
Related Searches
Viva Questions
,Guarantee of Profit to a Partner Video Lecture | Accountancy Class 12 - Commerce
,Semester Notes
,Guarantee of Profit to a Partner Video Lecture | Accountancy Class 12 - Commerce
,Previous Year Questions with Solutions
,Objective type Questions
,study material
,ppt
,mock tests for examination
,shortcuts and tricks
,Sample Paper
,MCQs
,Exam
,Guarantee of Profit to a Partner Video Lecture | Accountancy Class 12 - Commerce
,practice quizzes
,Extra Questions
,Important questions
,past year papers
,Summary
,video lectures
,Free
;
Study Guarantee of Profit to a Partner on the App
Students of Commerce can study Guarantee of Profit to a Partner alongwith tests & analysis from the EduRev app,
which will help them while preparing for their exam. Apart from the Guarantee of Profit to a Partner,
students can also utilize the EduRev App for other study materials such as previous year question papers, syllabus, important questions, etc.
The EduRev App will make your learning easier as you can access it from anywhere you want.
The content of Guarantee of Profit to a Partner is prepared as per the latest Commerce syllabus.
|
© EduRev
|
Education Revolution
|
|
Signup on EduRev and stay on top of your study goals
10M+ students crushing their study goals daily