Question
I need help on a couple of questions I missed. I took out what I know the wrong answers are 6) Which of the following
I need help on a couple of questions I missed. I took out what I know the wrong answers are
6) Which of the following is true about the concept of limited life for a partnership? :
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If a partner leaves the partnership, the existing partnership ends and a new partnership must be formed
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If a new partner joins the partnership, an existing partner must leave the partnership
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If partners mutually agree to retire, the partnership can be handed down to the children of the partners, thereby extending the life of the partnership
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8) For partnerships, which of the following is the correct definition of unlimited liability?
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One partner can sign contracts for the business without the permission of other partners.
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Once a partnership opens for business, it can be sued multiple times by individual partners.
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If the business is sued and loses, the partners' personal assets may need to be used to settle the suit.
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9.)Which of the following is true regarding partnerships?
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Partners are guaranteed to recoup their initial investment
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Partners are guaranteed a salary
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A partnership can allocate profits based on partners' capital balances
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15)
Three Sisters Beauty Salon suffered a net loss for operations in 2021. Net loss for the partnership is $108,000. The sisters do not have a written partnership agreement. What will happen to the Capital balances for the 3 partners?
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The capital balances will all increase.
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The capital balances will all decrease.
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The net loss will be allocated to the partner with the largest capital balance.
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