Question

Write any two characteristics of partnership.

Hint:

Partners share profits and losses and have the authority to act on behalf of the partnership.

Answer 1

Step 1: Definition of a Partner.
A partnership is a business arrangement where two or more individuals share the profits, losses, and responsibilities of managing the business.
Step 2: Characteristics of Partnership.
1. **Shared Profits and Losses:** In a partnership, profits and losses are shared between the partners according to the agreed profit-sharing ratio in the partnership deed. 2. **Mutual Agency:** Each partner acts as an agent of the partnership and has the authority to bind the firm in contracts with third parties.
Step 3: Conclusion.
Thus, shared profits and losses and mutual agency are two important characteristics of a partnership. Final Answer: \[ \boxed{\text{1. Shared Profits and Losses, 2. Mutual Agency}} \]