Which of the following will not lead to dissolution of partnership firm?
Answer & explanation
Correct answer: option 4
The correct answer is option 4- Change in the profit sharing ratio among the existing partners.
All other options are mode of dissolution of firm by court.
Change in the profit sharing ratio among the existing partners will not lead to dissolution of partnership firm. It is a mode of Reconstitution of the partnership firm.
Reconstitution of the partnership firm takes place in the following ways-
* Admission of a new partner
* Change in profit sharing ratio
* Retirement of a partner
* Death of a partner