Practicing Success

Target Exam

CUET

Subject

Accountancy

Chapter

Admission of a Partner

Question:
A New Partner may be admitted into a partnership:
Options:
With the consent of 2/3rd of old partners
With the consent of all old partners
With the consent of anyone partner
With the consent of a majority of partners
Correct Answer:
With the consent of all old partners
Explanation:
As per the Partnership Act, 1932, a new partner can be admitted into the firm with the consent of all the existing partners, unless otherwise agreed upon. With the admission of a new partner, there is a reconstitution of the partnership firm and all the partners get into a new agreement for carrying out the business of the firm.