Assertion (A): Change in Profit sharing ratio is not a reconstitution of partnership
Assertion (A): Change in Profit sharing ratio is not a reconstitution of partnership
Reason (R): Winding-up of the firm is reconstitution of business.
in the context of above two statements, which of the following is correct?
a) Assertion (A) and Reason (R) are correct but the Reason (R) is not the correct explanation of Assertion (A)
b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of Assertion (A)
c) Only Assertion (A) is correct
d) Both Assertion (A) and Reason (R) are incorrect.
Anurag Pathak Changed status to publish May 5, 2023
Ans – d)
Explanation:-Â
Change in profit sharing ratio is the reconstitution of partnership, Thus assertion a is wrong.
Winding-up of the firm is not the reconstitution of the partnership, thus reason R is wrong.
Anurag Pathak Changed status to publish May 5, 2023
