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Home › CBSE Class 12 (Commerce) › Accountancy › Accounting for Partnership Firms: Dissolution of a Partnership Firm › A partner transfers the whole of his interest to…

A partner transfers the whole of his interest to an outsider. The court may order:

ADissolution of the firm
BChange in the profit ratio
CRevaluation of assets only
DAdmission of the outsider
Answer & Solution
Correct answer: A. Dissolution of the firm
Transfer of the whole interest to a third party is a ground on which the court may order dissolution.
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