Business Law MCQ on General Nature of a Partnership: Check the below Business Law MCQ on General Nature of a Partnership with Answers Pdf free download. Business Law MCQ on General Nature of a Partnership Questions for Business Law with Answers were prepared based on the latest exam pattern. We have provided Business Law MCQ on General Nature of a Partnership with Answers to help students understand the concept very well.

Business Law MCQ on General Nature of a Partnership

1. The principle of ________ is applicable to partners in a partnership:
(a) Uberrimae fidei/Utmost Good Faith
(b) Ultimate Trust
(c) Insurable Interest
(d) Blind Faith

2. Limited Liability partnership is a form of partnership that:
(a) Is not possible
(b) Is allowed in certain circumstances in the Partnership Act, 1932
(c) Is now abolished
(d) Can be set up by LLP Act, 2008

3. What among the following is not an essential element of partnership:
(a) There must be an agreement entered into by all the persons concerned
(b) The agreement must be to share the profits of a business
(c) The business must start within six months from the date of agreement
(d) The business must be carried on by all or any one of them acting for all

4. A partnership for which no period or duration is fixed under the Indian Partnership Act is known as :
(a) Unlimited partnership
(b) Co-ownership
(c) Particular partnership
(d) Partnership at will

5. A Joint Hindu Family is created:
(a) By a contract
(b) By operation of law or status
(c) By registration
(d) By all the above mode

6. The essential elements of partnership does not include:
(a) Partnership should be registered
(b) There must bean agreement to share profits of a business
(c) There must be mutual agency among partners
(d) There must be an association of two or more persons

7. A club is the form of:
(a) Association not for profit
(b) Partnership
(c) Sole proprietorship
(d) Public company

8. To form a partnership, the minimum capital contribution should be:
(a) ₹ 1 lakh
(b) ₹ 10 lakh
(c) ₹ 1 crore
(d) There is no minimum limit

9. The Partnership Act, 1932 ________.
(a) Specifies the minimum number of partners in a firm
(b) Specifies the maximum number of partners in a firm
(c) Both (a) and (b)
(d) None of the above

10. A partnership formed for the purpose of carrying on particular venture or undertaking is known as:
(a) Limited partnership
(b) Special partnership
(c) Joint Venture
(d) Particular partnership

11. Property of firm does not include:
(a) All property which the partners have originally brought into the common stock of the business
(b) Goodwill of the business
(c) Personal properties belonging to the partner
(d) Property acquired by the funds of the firm

12. A partnership firm ________.
(a) Is a legal person
(b) Is not a legal person
(c) Has a distinct legal personality
(d) None of the above

13. Which of the parties may be admitted to the benefits of partnership?
(a) Person of unsound mind
(b) Minor
(c) Alien enemies
(d) An insolvent

14. The test of partnership is laid down in the following case:
(a) Cox v. Hickman
(b) Garner v. Murray
(c) Mohiribibi v. Dharmodas Ghosh
(d) None of the above

15. The ceiling on maximum number of partners in a firm is laid down in:
(a) The Partnership Act, 1932
(b) The Indian Contract Act, 1872
(c) The Companies Act, 1956
(d) Central Government notification

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By Team Learning Mantras