New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    After dissolution of the firm, goodwill of the firm

    __.
    A Can be sold. Correct Answer Incorrect Answer
    B Cannot be sold Correct Answer Incorrect Answer
    C Can be sold with certain restrictions. Correct Answer Incorrect Answer
    D Can be sold partially. Correct Answer Incorrect Answer
    E Cannot be sold till 5 years after dissolution of the firm. Correct Answer Incorrect Answer

    Solution

     Partnership Act  S. 55 SALE OF GOODWILL AFTER DISSOLUTION . (1) In settling the accounts of a firm after dissolution, the goodwill shall, subject to contract between the partners, be included in the assets, and it may be sold either separately or along with other property of the firm.

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