1. What are the criteria that a private company needs to meet in order to be classified as a small proprietary company?

1. 'Every partner is an agent of the firm and his other partners for the purposes of the business of the partnership; and the acts of every partner who does any act for carrying on in the usual way business of the kind carried on by the firm of which he is a member bind the firm and his business unless the partner so acting has in fact no authority to act for the firm inthe particular matter and the person with whom he is dealing either knows that he has no authority or does not know or believe him to bea partner'.

Interpret and make a short note on what you have understood from the above clause.