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easyMCQCUET Accountancy 2025 13 May Shift 12026CUET Accountancy
1 mark

, and are partners in a firm. If is admitted as a new partner, what would be its primary legal implication?

  1. A
    Old firm would be dissolved
  2. B
    Old firm and old partnership would be dissolved
  3. C
    Old partnership would be reconstituted
  4. D
    Nothing is affected.

Solution & Step-by-step Explanation

The admission of a new partner changes the internal profit sharing ties between existing partners, which legally means the dissolution of the old partnership contract and its automatic reconstitution. The underlying commercial business structure (the firm) does not close or dissolve; operations continue uninterrupted under the newly amended partnership configuration.

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, and are partners in a firm. If is admitted as a new partner, what would be its primary legal implication?
A
Old firm would be dissolved
B
Old firm and old partnership would be dissolved
C
Old partnership would be reconstituted
D
Nothing is affected.

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