Out of the following, which one is not a mode of reconstitution of a partnership firm?
Out of the following, which one is not a mode of reconstitution of a partnership firm?
Solution
✅ Correct Option: 4
Reconstitution means the existing partnership agreement ends but the firm continues under a new agreement, as in change in profit sharing ratio, admission, retirement or death. Dissolution of the firm ends the business itself, so it is not a mode of reconstitution.
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