ANSWERS-CH38 - Of course, if the other partners agree that...

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CHAPTER 38 OPERATION OF PARTNERSHIPS AND RELATED FORMS ANSWERS TO CHAPTER 38 True-False Multiple Choice 1. T 2. F 3. T 4. F 5. F 6. F 7. F 8. T 9. T 10. F 11. T 12. d 13. c 14. d 15. b 16. d 17. d 18. a 19. c 20. b 21. c Short Essay 23. Partners share profits equally unless otherwise agreed; partners share losses in the same way; a partner’s share of the profits is income to the partner on which taxes must be paid. His share of partnership losses may be deducted in the same manner. 24. Dewey must present the $1,500 to the firm, because he owes his partners the duty to account.
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Unformatted text preview: Of course, if the other partners agree that Dewey should be allowed to keep the $1,500 for himself, he may do so. 25. Beitz is justified in refusing to pay the debt. Beitz & Barks is a nontrading partnership, so borrowing money would not be in the ordinary course of business. Nothing in the facts leads to a conclusion that Barks would have had express, implied, or apparent authority to bind the partnership (and her partner) Business Law and the Regulatory Environment, 11E 63...
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