Question

Match List-I with List-II.

List-I	List-II
(A) Dissolution by notice	(I) Partnership at will
(B) Dissolution by agreement	(II) When a partner becomes insane
(C) Dissolution by court	(III) With the consent of all partners
(D) Compulsory Dissolution	(IV) When the business of the firm becomes illegal

• A. (A)-(I), (B)-(II), (C) - (III), (D) - (IV)
• B. (A)-(I), (B) - (III), (C) - (II), (D) - (IV)
• C. (A)-(I), (B) - (II), (C)- (IV), (D) - (III)
• D. (A)-(III), (B) - (IV), (C) - (I), (D)-(II)

Answer 1

The Correct Option is B

The question asks to match the types of dissolution with their corresponding explanations based on the nature of the dissolution.

• Dissolution by notice (A):
  This type of dissolution occurs when one partner gives notice to the other partners to dissolve the partnership. This is applicable in the case of a Partnership at will, where any partner can terminate the partnership by giving notice.
  So, (A) matches with (I) Partnership at will.
• Dissolution by agreement (B):
  Dissolution by agreement happens when all the partners mutually decide to dissolve the partnership. This is with the consent of all partners.
  Therefore, (B) matches with (III) With the consent of all partners.
• Dissolution by court (C):
  A partnership can also be dissolved by the court under certain circumstances, such as when a partner becomes insane or is incapable of carrying out their duties.
  Therefore, (C) matches with (II) When a partner becomes insane.
• Compulsory Dissolution (D):
  This occurs when the business of the partnership becomes illegal, which requires the dissolution of the firm.
  Thus, (D) matches with (IV) When the business of the firm becomes illegal.

Thus, the correct matching is (2): (A)-(I), (B)-(III), (C)-(II), (D)-(IV).

Answer 2

Dissolution by notice is matched with Partnership at will (A)-(I), as a partner can dissolve the firm by giving notice.
Dissolution by agreement is matched with With the consent of all partners (B)-(III), as partners can agree to dissolve the firm.
Dissolution by court is matched with When a partner becomes insane (C)-(II), since the court can dissolve the partnership in such cases.
Compulsory Dissolution is matched with When the business of the firm becomes illegal (D)-(IV), since illegal business activities automatically lead to dissolution.