Question

Under what circumstances is a partnership firm compulsorily dissolved?

Hint:

Compulsory dissolution ≠ mutual agreement, it is forced by law.

Answer 1

Step 1: Definition. Compulsory dissolution = dissolution enforced by law.
Step 2: Cases. - When all partners or all except one become insolvent. - When business becomes unlawful (e.g., due to government ban). - When all partners die.
Final Answer: \[ \boxed{\text{Death, insolvency or illegality of business}} \] % Quciktip