Chapter No. 2 – Accounting for Partnership Firms – Fundamentals – Book Solution

The Partnership is one of the type of business in which two or more persons/business make a formal agreement between them of sharing business ownership, profits/Losses, responsibilities and duties of the business. They also help each other in all operational activities of the business i.e. Decision making, Forecasting and increasing number of partners etc. 

In the Partnerships, the share of ownership will be distributed to the new partner as per the current market valuation of the business. The Market valuation includes a number of factors i.e. the market share of the product, customer loyalty and many more. \

For Examples: –

• Ides and Vodafone 
• Reliance Jio and Facebook. 
• Red bull and Go Pro
• Maruti Suzuki

Chapter No. 2 – Accounting for Partnership Firms – Fundamentals – Book Solution

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