- 7 Marks
BL – May 2018 – L1 – SB – Q2b – Partnership Law
Discuss partnership roles and management changes.
Question
de and Bola are partners in a firm consisting of ten other partners. Ade solely manages the business of the firm, while Bola is interested only in the profits of the business. In the course of managing the business of the firm, Ade made a payment of N10,000.00 for electricity and also incurred expenses on hotel bills while representing the firm in Tema, Ghana. Ade, who is now overwhelmed by the running of the firm, intends to introduce a friend into the business as a partner. In addition, Ade wants the business of the firm to be changed in order to attract more profit.
Required:
(i) What type of partners are Ade and Bola? Give reasons for your answer. (3 Marks)
(ii) Advise Ade on the money he paid for the electricity, the hotel bills as well as the plan to introduce a new partner. (4 Marks)
Find Related Questions by Tags, levels, etc.
- Tags: Business Decisions, Partner Duties, Partnership
- Level: Level 1
- Topic: Partnership Law
- Series: MAY 2018