question_answer

Assertion (A) :

Change in profit sharing ratio among the existing partners leads to dissolution of partnership as the existing agreement comes to an end and the firm continues under new agreement.

Reason (R) :

Reconstitution of partnership will bring change in economic/business relationship among the partners. Business will continue and books of accounts of the firm not to be closed.

Choose the Correct Option from the following:

A) Assertion and Reason both are correct and Reason is the correct explanation of assertion

B) Assertion and Reason both are correct but Reason is not correct explanation of assertion

C) Both Assertion and Reason are not correct

D) Only Assertion is correct