FUNDAMENTALS OF PARTNERSHIP FIRM TS GREWAL (2022-23) CBSE

QUESTION: 3

Following differences have arisen among P, Q, and R. State who is correct in each case:

a) P used ₹ 50,000 belonging to the firm and earned a profit of ₹ 5,000. Q and R want the amount to be given to the firm.

b) Q used ₹ 10,000 belonging to the firm and incurred a loss of ₹ 1,000. He wants the firm to bear the loss.

c) P and Q want to purchase goods from Star Ltd., R does not agree.

d) Q and R want to admit W as partner, P does not agree.

e) R had given loan of ₹ 2,00,000 to the firm and demands interest @ 10% p.a., P and Q do not want to pay the interest.

Answer:

Here is the solution to it.

a) If any partner uses the money of the firm and earned a profit. He has to pay back the used money with profit. hence, p has to back ₹ 55,000 to the firm.

b) If any partner uses the firm money and incurred a loss. He has to bear the loss and the full amount of money taken by the partner has to return back the firm. hence Q has to pay ₹ 10,000 to the firm.

c) any business decision is decided by the majority. Hence P and Q want to purchase goods from star Ltd is accepted as there are only 3 partners and the majority win.

d) was a partner can not be admitted as for a new partner all partners must agree.

e) In the absence of a partnership deed. Provisions of the Indian Partnership Act 1932 would apply. Only a 6% p.a rate of interest on the loan of partners to the firm would be charged. Hence. In the place of 10% p.a, only a 6% p.a rate of interest would be charged.