Change in the existing agreement between the partners is called :
Answer & explanation
Correct answer: option 2
The correct answer is option 2- Dissolution of Partnership.
The dissolution of a partnership means a change of business relationship between partners whereas the dissolution of a firm means dissolving of the firm along with the relation between partners. In the case of dissolution of firm, all the assets and liabilities are settled and appropriately disposed. Change in existing agreement leads to dissolution of partnership as partnership continues with new terms and conditions.