Q.Two partners, A and B, contribute capital in the ratio 3:1 but their partnership deed is silent on the profit-sharing ratio. As per Section 13(b), in the absence of any agreement, profits will be shared:
(A) In the ratio 3:1, matching their capital contribution
(B) Equally between A and B
(C) According to the time each partner spends on the business
(D) As decided by the Registrar of Firms

Section 13(b) fixes equal profit-sharing as the default rule whenever the deed is silent, entirely independent of how much capital each partner actually put in.

Section 13(b) states that, in the absence of a contract to the contrary, partners are entitled to share equally in the profits earned, and must contribute equally to the losses sustained by the firm. This applies regardless of how much capital each partner actually contributed — capital ratio and profit-sharing ratio are two separate matters unless the deed expressly ties them together.

Option-by-option analysis:

• (A) Incorrect — this would only apply if the deed expressly said profits follow the capital ratio; here the deed is silent, so the statutory default (equal sharing) applies instead. …