Question

Complete the sentence.

When a partner withdraws his capital from the partnership firm, it is called ______ of a partner.

Options

• Retirement

• Admission

• Death

• None of these

Answer 1

When a partner withdraws his capital from the partnership firm, it is called Retirement of a partner.

Explanation:

It refers to a partner's departure from the firm's business, which could be due to ill health, advanced age, or a change in business interests. In fact, if the partnership is at will, a partner can leave at any time.