36. In a partnership liquidation, when a partner has a capital deficiency, the right of offset:

A) Allows the partner to invest personal assets to bring the capital balance to zero

B) Requires all the other partners to have positive capital balances, to absorb the partner's capital deficiency

C) Reclassifies a partnership loan payable to the partner as part of her capital balance

D) Allows the partner to neutralize the deficiency using previously invested personal assets

35. Joint and several liability in a partnership means that:

A) Each partner has personal liability for partnership obligations.

B) Each partner's personal liability for partnership obligations is limited to the balance in their capital account.

C) Each partner's personal liability for partnership obligations is limited to their initial investment in the partnership.

D) Partners are responsible for their own actions but not the actions of the other partners.

34. A partnership differs from a corporation in what way?

A) All partnerships are designed to exist for a finite amount of time, while corporations are designed to exist forever

B) A partnership is governed by a different set of accounting rules (partnership accounting), while a corporation is governed by GAAP

C) A partnership issues stock to its owners, a corporation does not

D) Transfer of ownership in a partnership requires approval or agreement of other partners, while ownership in a corporation can be freely transferred