Which of the following is not a feature of a partnership firm?

Limited Liability

Correct answer: Option (4) → Limited Liability

Concept: Features of partnership, from Accounting for Partnership: Basic Concepts.

The essential features are: two or more persons, agreement, business, mutual agency, and sharing of profits and losses. The liability of partners is UNLIMITED – NCERT notes that a partner’s private assets can also be used to pay off the firm’s debts. Therefore “Limited Liability” is NOT a feature of a partnership firm, making Option (4) the correct odd-one-out.