Problem $15-2($Static$)($LO $15-1)$

Which of the follawing statements is true conceming the accounting for a partnership going through liquidation?

Multiple Cholce

Within a liquidation, all gains and losses are divided equally among the partners.

Because gains and losses rarely occur during liquidation, no special accounting treatment is warranted.

Gains and losses are reported directly as increases and decreases in the appropriate capital account.

A separate income statement is created to measure only the profit or loss generated during liquidation.