Practicing Success
According to partnership Act, if the deed is silent then the profit sharing ratio will be: (Assuming there are only two partners) |
In partners' capital ratio 1 : 2 2 : 1 Equally |
Equally |
The correct answer is Option (4) → Equally If the partnership deed is silent about the profit sharing ratio, the profits and losses of the firm are to be shared equally by partners, irrespective of their capital contribution in the firm. |