Bobby is a partner in East and West Tyres. He has contributed more than share of the capital for business purpose. In the absence of any agreed rate, Bobby is entitled to interest at the rate of:
CS CSEET · Business Laws and Management · PYQS · June 2026
Bobby is a partner in East and West Tyres. He has contributed more than share of the capital for business purpose. In the absence of any agreed rate, Bobby is entitled to interest at the rate of:
Answer & Explanation:
Correct Answer: Option (D)
Correct answer: (D) 6% p.a.. A partner’s advance beyond agreed capital carries 6% annual interest in the absence of agreement, under section 13(d).
Topics: Indian Partnership Act, 1932
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