Question consists of two statements, namely, Assertion (A) and Reason (R). Select the correct answer. |
Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A). Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A). Assertion (A) is true, but Reason (R) is false. Assertion (A) is false, but Reason (R) is true. |
Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A). |
Capital is the investment done by the partner’s themselves and thus at the time of dissolution of the partner the firm pays off the capital to the partners only after the settlement of the other liabilities including the loan given by any partner in proportion to their capital. |