1. In the absence of any agreement between partners, profits and losses must be shared

a.on the basis of the ratio of the partners' investment.

b.equally among all partners.

c.in accordance with the Uniform Partnership Act.

d.on the basis of the ratio of the partners' withdrawal.

.

2.

A written agreement containing the various provisions under which a partnership is to operate is known as a partnership agreement.

True

False

.

3.

Only the income statement is affected by the allocation of net income in a partnership.

True

False

4. "Limited life" means

a.a partnership may be dissolved as the result of any change in the ownership.

b.a partnership is limited to the amount of net income it can earn.

c.a partnership is limited in the amount of debt it is liable for in the course of the business.

d.a partnership may be dissolved if the location of the business is changed.