Question

A partnership firm is compulsorily dissolved:

Options

• When the business of the firm is declared illegal.

• When a partner of the firm dies.

• When a partner of the firm becomes insolvent.

• When a partner transfers his share to some other person without the consent of other partners.

Answer 1

When the business of the firm is declared illegal.

Explanation:

When a partnership firm's business is found illegal, it must be dissolved.