In the partnership,profit and loss distribution is determined by the partnership agreement.

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The partnership agreement outlines the manner in which profits and losses will be distributed among the partners. It is a legally binding document that governs the relationship between partners and the operation of the partnership. The partners can agree to distribute profits and losses equally, based on capital contributions or according to some other criteria that they specify. If the partnership agreement is silent on this issue, profits and losses are generally distributed equally among the partners.

In the Partnership,profit and Loss Distribution Is Determined by the Partnership