CameraIcon

SearchIcon

MyQuestionIcon

1

You visited us 1 times! Enjoying our articles? Unlock Full Access!

Adjustment in Partner's Capital A/c

A Is One Who ...

Question

A ______________ Is One Who Allows the Use of His/her Name by a Firm, but Does Not Contribute to Its Capital

A

Sleeping partner

No worries! We‘ve got your back. Try BYJU‘S free classes today!

B

Secret partner

No worries! We‘ve got your back. Try BYJU‘S free classes today!

C

Active partner

No worries! We‘ve got your back. Try BYJU‘S free classes today!

D

Nominal partner

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

Open in App

Solution

The correct option is D
Nominal partner

Nominal partner
A nominal partner is one who does not have interest in the trade or its profits. But allows the use of his or her name in the firm.

Suggest Corrections

thumbs-up

0

Similar questions

Q. A, B and C are partners in a firm. They do not have a Partnership Deed. At the end of the first year of the commencement of the firm, they have faced the following problems :
(a) A wants that interest on capital should be allowed to the partners but B and C do not agree.
(b) B wants that the partners should be allowed to draw salary but A and C do not agree.
(c) C wants that the loan given by him to the firm should bear interest @ 10% p.a. but A and B do not agree.
(d) A and B having contributed larger amounts of capital, desire that the profits should be divided in the ratio of their capital contribution but C does not agree.
State how you will settle these disputes if the partners approach you for purpose.

Q. Name the following:
1. A person who lends his name and goodwill for the benefits of a partnership film.
2. A person who contributes capital but does not take part in the business of the firm.
3. A document containing terms and conditions of partnership.
4. A partnership set up for a specific project
5. A person who contributes capital, participates in the business but whose identity is not disclosed to outsiders.

Q. A partner who contributed capital in the Finn but does not actively participate in the working of the business is called ______________.

Q. in partners current a/c why does interest on drawings come on the debit side when it is a gain to the firm? same way why does interest on capital come on the credit side when it is a loss to the firm?

A, B

C

are partners in a firm. They do not have a Partnership Deed. At the end of the first year of the commencement of the firm, they have faced the following problems:

A

B

having contributed larger amounts of capital, desire that the profits should be divided in the ratio of their capital contribution but C does not agree.
State how you will settle these disputes if the partners approach you for the purpose.

Join BYJU'S Learning Program

similar_icon

Related Videos

lock

Let’s Settle

ACCOUNTANCY

Watch in App

explore_more_icon

Explore more

Adjustment in Partner's Capital A/c

Standard XII Accountancy

Join BYJU'S Learning Program

CrossIcon