Accountancy Part AAccounting for Partnership

In the absence of partnership agreement, mutual relations of partners…

In the absence of partnership agreement, mutual relations of partners are governed by the _____.

Answer & explanation

Correct answer: option 4

The correct answer is Option (4) → Provisions of Indian partnership Act 1932

NCERT (2026-27 edition):
Partnership Deed – “… Normally, the partnership deed covers all matters affecting relationship of partners amongst themselves. However, if there is no express agreement on certain matters, the provisions of the Indian Partnership Act, 1932 shall apply.”