Practicing Success

Target Exam

CUET

Subject

Entrepreneurship

Chapter

Entrepreneurial Opportunity

Question:

Vijay and Sameer are partners in a firm. Vijay has agreed to buy raw material from supplier at ₹3/unit. Though Sameer feels it is too high, the firm is still bound to buy and make required payment.

The features of partnership highlighted above is:

Options:

Unlimited liability

Profit sharing

Implied authority

Utmost good faith

Correct Answer:

Implied authority

Explanation:

The correct answer is option (3) - Implied authority