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According to the Indian Partnership Act, 1932, and subject to a contract between the partners, a firm can be dissolved upon the occurrence of certain contingencies. These include:(A) If constituted for a fixed term, by the expiry of that term.(B) If constituted to carry out one or more ventures, by the completion thereof.(C) By the death of a partner.

  1. A
    (A), (B) and (C) only
  2. B
    (A), (B) and (D) only
  3. C
    (A), (B), (C) and (D)
  4. D
    (B), (C) and (D) only

Solution & Step-by-step Explanation

Section 42 of the Indian Partnership Act, 1932 states that, unless otherwise agreed by the partners, a firm is dissolved upon the occurrence of any of the following events:Expiry of a fixed term (A)Completion of the specific venture/undertaking (B)Death of any partner (C)Insolvency/Adjudication of a partner as insolvent (D)Therefore, all four circumstances listed represent valid contingent grounds for dissolution.

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Try it yourself before checking the explanation above.

According to the Indian Partnership Act, 1932, and subject to a contract between the partners, a firm can be dissolved upon the occurrence of certain contingencies. These include:(A) If constituted for a fixed term, by the expiry of that term.(B) If constituted to carry out one or more ventures, by the completion thereof.(C) By the death of a partner.
A
(A), (B) and (C) only
B
(A), (B) and (D) only
C
(A), (B), (C) and (D)
D
(B), (C) and (D) only

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