Which combination of the given statements is correct regarding partnership regulations and structures?(A) A valid partnership can be formulated even without a written agreement between the partners.(B) Methods of settlement of disputes among the partners cannot be a part of the partnership deed.(C) If the deed is silent, interest at the rate of p.a. would be charged on the drawings made by a partner.(D) Each partner carrying on the business acts as a principal as well as an agent for all the other partners.Choose the correct answer from the options given below:
- A(A) and (D) only
- B(A), (B) and (D) only
- C(C) and (D) only
- D(B), (C) and (D) only
Solution & Step-by-step Explanation
Evaluating each claim:(A) is True: A partnership agreement can be oral or written under the Indian Partnership Act, 1932.(B) is False: A partnership deed typically contains dispute resolution terms (such as arbitration clauses).(C) is False: In the absence of a partnership deed, no interest is charged on drawings.(D) is True: Mutual agency defines partnership; every partner acts as both a principal and an agent for the other partners.Thus, statement entries (A) and (D) are correct.