If a partner is personally insolvent, and the partnership must be terminated

Multiple Choice

• all remaining solvent partners must wait until the deficit amount is repaid the insolvent partner before any cash distributions can be made.

• all remaining solvent partners must pay the deficit amount to the insolvent partner.

• all remaining solvent partners must absorb the deficit amount of the insolvent partner in accordance with their revised profit to loss sharing ratio, excluding the insolvent partner.

• all remaining solvent partners must absorb the deficit amount of the insolvent partner equally.