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If the admission date of a new partner is given in the deed, what is its importance in calculating profit share?

Answer and explanation

Correct answer: Right will generally be on profit after that date

A new partner's right starts from the admission date. Therefore the date is important in time-based profit calculation.

Related tags

Admission DateProfit ShareNew PartnerPartnership DeedPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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