From which of the following sources can partnership increase their capital?
Answer Details
Partnership can increase their capital through the admission of new partners and the sales of shares.
When a new partner joins the partnership, they bring in additional capital, which increases the overall capital of the partnership.
Similarly, when shares in the partnership are sold, it generates additional capital which also increases the total capital of the partnership.
Discharging a mortgage or receiving grants from relatives may not directly increase the capital of the partnership, but they can improve the financial position of the partnership and make it easier for the partnership to raise capital in other ways.