The Indian Partnership Act, 1932

Question Bank
1. Collective name under which
business carries on is called
2. All partners are entitled to share
3. A minor is entitled
4. Where partnership is not for a fixed
period of time, it is known as
5. Partners who takes part in business
of firm is called
6. Partner by holding out is governed
by Sec ______ .
7. Law dealing with partnership is
contained in
8. Number of persons a firm carrying
on business other than banking
9. True test of partnership is
10. Partnership arise by way of
agreement only. (True / False)

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Answer Sheet
1. Firm name
2. Profits equally
3. To benefits of firm
4. Partnership at will
5. Active partner
6. Sec. 28
7. The Indian Partnership Act, 1932
8. Minimum 2 & Maximum 20
9. Mutual agency
10. True

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11. A share in a partnership be transferred
like any other
12. Under which Act , Maximum number
of partnership is mentioned ?
13. Law of partnership in India was
earlier contained in
14. Partnership agreement may be in
form of
15. Partnership is relation
16. Each of partner is principal as well
as an ______.
17. Partnership of particular adventure
or undertaking
18. Sharing of profit is _______ evidence
of existence of partnership.
19. The Partnership Act, 1932 came
into force on
20. The Partnership Act, 1932 deals
with

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Answer Sheet
11. Property
12. The companies Act
13. Ch. XI of Contract Act 1872
14. Express or implied
15. Between persons
16. Agents
17. Particular partnership
18. Not a conclusive
19. 1-10-1932
20. Partnership in general

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21. Where a partnership agreement
provides neither for the duration
nor for the determination of the
partnership
22. On failure by a minor to give public
notice within six months, effect is
23. Every partner is bound to attend
______ to his duty
24. Partner is agent of firm for the
purpose of
25. Registration of firm is covered by
Section

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Answer Sheet
21. Partnership at will
22. Minor automatically become
partner
23. Diligently
24. Business of firms
25. Sec 59

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 The Indian Partnership Act, 1932
Question Bank
1. Partner are bound to carry on the
business of firms greatest_______
advantage.
2. For loss caused to the Firm by his
fraud in conduct of business, every
partner shall
3. Goodwill is _______ of firm.
4. Partnership property vests in favor
of
5. Registration of firm is compulsory.
(True / False)
6. A partner can be expelled if
expulsion is in good faith. (True /
False)
7. Registration of partnership is
complete, when
8. Delegates non protest delegare
means

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Answer Sheet
1. Common
2. Indemnify the firm
3. Property
4. Firm
5. False, Optional
6. True
7. Registrar records entry in register
of firms
8. Person whom authority has been
given can not delegate authority
to another

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9. In case of emergency partner has
authority to do all such acts so as
to protect firm from losses , as
would be done by ______ under
similar condition.
10. ROF (Registrar of firms) is
appointed by
11. ROF is deemed to be a ______ u/s
21 of IPC.
12. A new partner can be admitted in
firm with consent of
13. A partner may retire from firm
14. On attaining majority, minor has
to decide with in ___months
whether he shall remain in firm or
leave it.
15. Death of partner has effect of
16. On dissolution partners remain
liable until
17. On transfer of interest by partner,
partner retires. (True / False)

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Answer Sheet
9. Any man of ordinary prudence
10. State government
11. Public servant
12. All partners
13. With consent of all other persons
14. 6 months
15. Dissolving the firm
16. Public notice is given
17. False, Partner can not retire

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18. In case of partnership at will , notice
of intention to dissolve firm may
be served by
19. Section _____ deals with sale of
goodwill after dissolution of firms
20. Liability of a new partner generally
commences from
21. Upon dissolution losses, including
deficiency of capital, shall be paid
first out of profits & then out of
22. In case of notice of dissolution in
partnership at will , where no dates
has been mentioned in notice,
dissolution will start from the date
of
23. Any act of old partners
24. Upon dissolution ,Goodwill of firm
can be sold either ____ or ____.
25. Accounting rule in respect of loss
arising due to insolvency of a
partner is dealt with in
26. When a partner is expelled
otherwise than in good faith, it is
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Answer Sheet
18. Any of partners
19. Sec 55
20. Date of his admission
21. Capital
22. Notice is communicated
23. Can not be rectified by new partner
24. Either separately or along with
assets of firms
25. Garner Vs Murray
26. Null & void

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