A 'Partner by Holding Out' is: MCQ with Answer and Explanation

A 'Partner by Holding Out' is:

A. A minor admitted to benefits

B. A retired partner

C. A deceased partner's legal heir

D. A person who represents himself as a partner but is not

Answer: Option D

A person who by his conduct or words allows others to believe he is a partner may be held liable as partner by estoppel or holding out.

This question belongs to: Accountancy and Statistics Accountancy and Book Keeping

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Question #1 Report Error

The 'Comptroller and Auditor General' (CAG) is appointed by:

A. Prime Minister

B. Parliament

C. Finance Minister

D. President of India

Correct Answer: Option D

Explanation:
CAG is appointed by the President under Article 148.

This question belongs to: Accountancy and Statistics Accountancy and Book Keeping

Question #2 Report Error

The 'Revenue Recognition' under Ind AS 115 is based on:

A. Transfer of control of goods or services to the customer

B. Transfer of risks and rewards

C. Receipt of cash

D. Invoice issuance

Correct Answer: Option A

Explanation:
Ind AS 115 uses a five-step model based on transfer of control.

This question belongs to: Accountancy and Statistics Accountancy and Book Keeping

Question #3 Report Error

Which of the following is a non-cash item in the Profit & Loss Account?

A. Salaries paid

B. Commission paid

C. Rent paid

D. Depreciation

Correct Answer: Option D

Explanation:
Depreciation is a non-cash expense, as no cash outflow occurs.

This question belongs to: Accountancy and Statistics Accountancy and Book Keeping