Partnership Deed MCQs

Question 1

A partnership deed contains the details associated with

(a)Nature of business and duration of firm.

(b)Capital contribution, profit/loss sharing ratio and other agreed terms.

(c)Name of firm and partners.

(d)All of these.

Question 2

A partnership business is determined by the mutual agreement of a partner. This

kind of agreement can be?

A) Oral agreement

B) Written agreement

C) Oral or written agreement

D) None of them

Question 3

The common term for partnership written agreement is known as

A) Agreement

B) Partnership deed

C) Partnership contract

D) Partnership Act
Question 4

Where no agreement exists between the partners, what will be the benefit-sharing
ratio between them?

A) Unequal

B) Equal

C) It will depend on the experience of a partner

D) It will depend on a partner’s capital

Question 5

Which of the following option is not a feature of a partnership business?

A) Mutual agency

B) Limited liability

C) Limited life

D) Ease of formation

Question 6

In which types of partnership, there is no partnership duration mentioned?

A) Partnership-at-will

B) General partnership

C) Registered partnership

D) Limited partnership

Question 7

A common structure of the partnership, partners liabilities are:

A) Unlimited

B) Limited

C) Limited to the business capital

Question 8

Is a partnership business regarded as a separate legal entity?

A) Yes

B) No

Question 9

In partnership Interest on drawings is:

A) Credited to partner’s current a/c

B) Not shown in the current account

C) Debited to partner’s current a/c

D) None of the above

Answer: C

Question 10

Salary of a partner is _________.

A) Credited to a current account

B) Debited to a current account

C) Paid in Cash

D) All the above