Ans. This statement is True.
i. The liability of partner is joint, several and unlimited.
ii. If the assets of the firm are insufficient to pay off the debts of the firm, then the personal property of the partners will be utilized to make the payment of the debts.
iii. If any one of the partner is declared insolvent, his liability will be borne by the solvent partners.
iv. Thus in a partnership the liability of partners of a firm is unlimited.