Practicing Success
Practicing Success
CUET Preparation Today
Which statement best describes the difference between the dissolution of a partnership and the dissolution of a firm? |
The dissolution of a firm ends the existence of the firm, while the dissolution of partnership results in the continuation of the partnership. The dissolution of a partnership occurs when all partners decide to break their relationship, while the dissolution of a firm occurs when only some partners leave the partnership. The dissolution of a partnership refers to the winding up of a firm's affairs, while the dissolution of a firm signifies the continuation of the partnership under the same name. The dissolution of a partnership and the dissolution of a firm are interchangeable terms with the same meaning. |
The dissolution of a firm ends the existence of the firm, while the dissolution of partnership results in the continuation of the partnership. |
The dissolution of a firm signifies the termination of the business entity as a whole, while the dissolution of a partnership indicates the ending of the existing partnership relationship between the partners. Dissolution of partnership means the reconstitution of the partnership firm by the way of admission of a new partner, retirement or death of a partner, etc. Dissolution of the firm makes the firm to end the partnership and the business comes to end. |
