According to which section of the partnership Act 1932, the dissolution of a partnership between all the partners of a firm is called the dissolution of the firm?
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → Section 39
The Partnership Act separates the dissolution of partnership (a change in the relationship, while the firm may go on) from the dissolution of the firm. Section 39 says that the dissolution of partnership between all the partners is the dissolution of the firm, which ends its business.
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