What does perpetual succession mean for an LLP?
AIt cannot be sold
BIt outlives changes
CIt never pays any tax
DIt has one partner only
Answer & Solution
Correct answer: B. It outlives changes
As a body corporate an LLP keeps existing regardless of partners joining or leaving.
Keep practising Partnership Accounts
Browse all Partnership Accounts questions for CA Foundation, or explore more Accounting topics.
Related questions
In an LLP, is a partner liable for another partner's unauthorised actions?An LLP partner's liability is limited to what?Which authority registers and controls LLPs in India?What minimum capital is needed to form an LLP?What is the minimum number of members needed to start an LLP?What is the upper limit on partners in an Indian LLP?Which Act is stated not to apply to Indian LLPs?Which statement about an Indian LLP is correct?