11.Which of the following is a characteristic of most partnerships? a.Unlimited lifeb.Limited liabilityc.Mutual contributiond.Division of profits only 12.Non-cash assets invested into a partnership are recorded at 13.A partnership which comprises all the profits that the partners may acquire by their work or industry during the existence of the partnership is called 14.On July 1, 2014, Escareal and Acosta formed a partnership. Escareal contributed cash. Acosta, previously a sole proprietor, contributed property other than cash, including land subject to a mortgage, which was assumed by the partnership. Acosta’s capital account at July 1, 2014 should be recorded at
15.A partner who is liable for the payment of partnership debts to the extent of his separate property after the partnership assets are exhausted is called a.Limited partnerb.General partnerc.Managing partnerd.Capitalist partner 16.The ability of a partner to enter into a contract on behalf of all partners is called 17.Two sole proprietors formed a partnership. Non-cash assets forming part of the initial investment in the partnership would be recorded atthe 18.A large cash withdrawal by Partner Ruiz from Bernal, Ruiz, Adriano and Gogola, which is viewed by all partners as a permanent reduction of Ruiz’s ownership equity in the partnership, is recorded with a debit to
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- Fall '17
- Ma'am Terese de Guzman
- Corporation, Limited partnership, partner