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Which provision in the partnership deed clearly defines the partners' rights and duties?

Answer and explanation

Correct answer: Written provisions of partners' rights and duties

The partnership deed contains the express written terms that set out partners' rights, duties, management rules and other conditions. Thus the provision that specifies rights and duties is the correct choice. The profit-sharing ratio only determines how profits are divided; capital contributions relate to investment and claims but do not define all rights/duties; the firm's nature and duration state the business objective and time frame but do not set partners' roles. Exam tip: look for words like "rights", "duties" or "express provisions" in the deed when answering such questions.

Related tags

Partnership DeedPartnership AccountsRights And DutiesPartnership LawProfit SharingPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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