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Cash Settlement with Retiring Partner

A was an Empl...

Question

A was an Employee in a Partnership Firm with a Salary of Rs. 50,000 per month and he will get a Share of 30% in Profits if the Profits ot the Firm exceed Rs.5,00,000. Now W is called ________.

A

partner of the firm

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B

not a partner of the firm

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C

he cannot take share in profits

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D

is not entitled to any salary.

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Solution

The correct option is B not a partner of the firm
Option B is the correct answer.

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