Question

Partnership is defined as "the relation between persons who have agreed to share the profits of a business carried on by _________ acting for all".

• A. All
• B. Any of them
• C. (A) or (B)
• D. (A) and (B)

Answer 1

The correct option is C (A) or (B)

When a partnership firm is incorporrated the roles of various partners are decided. So the partnership is that relation where people share profits on the basis that a single person would work for all or each partner would work for every other partner. It is the mutual decision of all the partners.

Hence, partnership is a relation between person who agree to share profits carried on by all acting for all or any of them acting for all.