At your first job after graduation, you start working for a local CPA firm. The firm’s partner mentions that partnerships are often not accounted for under accrual accounting. You are surprised, since you assumed that all entities are accounted for under accrual accounting in accordance with GAAP. Please comment on the partner’s remarks in detail. Is he correct? Explain.

Go to a search engine and type in “financial statements limited partnerships” and obtain a copy of a set of financial statements on a limited partnership. A limited partnership’s name often ends in the letters “L.P.” In 200 words or more, highlight some of the disclosure items you observe that are different between the financial statements of the limited partnership you selected as contrasted with a publicly-held corporation. Also, please share your