Fill in the blank with the correct word or term from the list.

account form balance sheet

partnership

deficit

profit-loss ratio

liquidation

realization

mutual agency

unlimited liability

1. The total process of going out of business is __________.

2. A/an __________ is an association of two or more competent persons who agree to do business as co-owners for profit.

3. The ability of each partner, acting as an agent of the business, to enter into and bind it to contracts within the apparent scope of the business is __________.

4. __________ is the conversion of noncash assets to cash.

5. The method used by the partners to divide profits or losses in the __________.

6. A/an __________ is an abnormal balance in a capital account.

7. The principle that each partner is personally liable for the debts of the business is called __________.

8. __________ shows the three major categoriesassets, liabilities, and owner's equityin a horizontal manner.