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Please answer whether the questions are true or false. Also, please provide an explanation if a question is false. Thanks Partnership dissolution is always followed
Please answer whether the questions are true or false. Also, please provide an explanation if a question is false. Thanks
- Partnership dissolution is always followed by partnership liquidation.
- If the partnership is dissolved with the death of one of the partners, the remaining partners may continue the partnership under a new partnership name.
- If the partnership is dissolved because of insolvency, all the general partners must contribute the additional amount to fully pay the third party creditors.
- The personal creditors of the general partner have a better claim to the partner's personal assets than the creditors of the partnership.
- Total contributed capital, which is the sum of the capital balances of the old partners and the actual investment of the new partner, should always be equal to the new partnership capital.
- If the agreed capital exceeded the total contributed capital, the difference may be attributed to a positive asset revaluation
- There will be no impact on the partnerships income statement if the partners withdraw from the business.
- When a partner withdraws from a partnership, there is no need for asset reappraisal.
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