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What benefit is obtained by writing partners' duties in the deed?

Answer and explanation

Correct answer: Work division and accountability become clear

Specifying partners’ duties in the partnership deed clarifies who is responsible for particular managerial, financial or operational activities. This supports an orderly division of work, makes accountability easier to assess and helps prevent overlapping authority or disputes. It does not guarantee that goods will sell automatically, eliminate tax liability, or make the partners’ capital contributions equal. Capital equality would require a separate agreement or actual adjustment, not merely a statement of duties. The governing benefit is therefore better management control and clear responsibility. Thus option A is the only appropriate answer.

Related tags

Partners DutiesAccountabilityPartnership DeedPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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