Question consists of two statements, namely, Assertion (A) and Reason (R). Select the correct answer.

Assertion: A partnership deed can have clauses that are different from the provisions of the Partnership Act, 1932 and in such situations, clauses in Partnership Deed will prevail over the provisions of the Partnership Act, 1932.
Reason: The provisions of the Partnership Act, 1932 apply only when the partners have not agreed on a matter.

Both Assertion (A) and reason (R) are correct and R is the correct explanation of A.

The correct answer is option 1- Both Assertion (A) and Reason (R) are correct and R is the correct explanation of A.

The Partnership Act, 1932 allows partners to create a partnership deed with clauses that can differ from the statutory provisions. In such cases, the terms of the partnership deed will take precedence. The Act applies when there is no agreement on a particular matter among partners. Thus, both statements are true and reason explains why assertion is true.