S1: A joint venture is a temporary partnership. S2: A joint venture has a separate legal entity. Which statement(s) is/are correct? MCQ with Answer and Explanation
S1: A joint venture is a temporary partnership. S2: A joint venture has a separate legal entity. Which statement(s) is/are correct?
A. Both S1 and S2
B. Neither S1 nor S2
C. S1 only
D. S2 only
Answer: Option C
Solution (By JKSSB Mock Tests)
A joint venture is formed for a specific, short-term purpose and terminates upon completion, making it a temporary partnership. Unlike a company, it does not have a separate legal entity distinct from its co-venturers. S1 is correct, S2 is incorrect.
Consider these statements about 'Single Entry System': 1. Only personal accounts are maintained completely. 2. Profit is ascertained by comparing opening and closing capital. 3. It is based on dual aspect concept. Which are correct?
No comments yet. Be the first to start the discussion!