Question : Sleeping partners are those who 

Option 1: take active part  in the conduct of the business but provide no capital. however, salary is paid to them

Option 2: do not take any part in the conduct of the business but provide capital and share profit and losses in the agreed ratio 

Option 3: take active part in the conduct of the business but provide no capital, however, share profit and losses in the agreed ratio

Option 4: do not take any part in the conduct of the business and contribute no capital, however, share profit and losses in the agrred ratio.

Question : A and B are Partners in a firm. They are entitled to interest on capital, but if the net profit is not sufficient for this interest, then the net profit will be distributed among partners in

Option 1: Agreed ratio

Option 2: Profit sharing ratio

Option 3: Capital ratio

Option 4: Equally

Question : A and B are Partners in a firm. They are entitled to interest on capital, but if the net profit is not sufficient for this interest, then the net profit will be distributed among partners in

Option 1: Agreed ratio

Option 2: Profit sharing ratio

Option 3: Capital ratio

Option 4: Equally

Question : In the absence of agreement, partners are not entitled to:

Option 1: Salary 

Option 2: Commission 

Option 3: Equal share in profit 

Option 4: Both (1) and (2) 

Question : In the absence of an express agreement as to who will contribute to new partners’ share of profi t, it is implied that the old partners will contribute :

Option 1: In the ratio of their capitals

Option 2: In their old profit sharing ratio

Option 3: In the gaining ratio

Option 4: Equally