Business Partnership Quiz #2

The withdrawal of a partner from a partnership

The receipt of share in profit by an existing partner

The contribution of additional assets to the partnership by an existing partner.

The winding up of the partnership and distribution of remaining assets to partners.

In the ratio of their last agreed capital balance

Partnership profit/loss sharing ratio

Debts are shared equally

Debts should not be cleared by other partners

Access to a larger amount of initial capital.

Limited liability for all partners.

Being able to raise capital through share issues.

Greater power than a sole trader for decision making.

Capital

Equally

Time devoted by each partner

None of these

Dissolved

Continued

Not affected

Re-organized

Death of a partner

Insolvency of partner

Insanity of a partner

All of the above

According to profit and loss ratio

According to capital contribution

As decided among them

None of the above

The deficit balance should be removed from the accounting records and the remaining partners would share in any additional profits.

The partner with the deficit should contribute enough personal assets to eliminate the deficit balance.

The partner with the highest capital balance should allocate enough dollars to eliminate the deficit balance.

The other partners should contribute personal assets to eliminate the deficit balance.

The death of a shareholder will not dissolve the corporation because of the power of succession

Its management is centralized on the board of directors.

Shareholders have limited liability

Shareholders are not general agents of the business

All of the above

Incorporators

Promoters

Members

Shareholders

Right to redemption

Pre-emptive right

Right to be sued

Concept of corporate entity

Corporators

Incorporators

Promoters

Subscribers

None of the above

Limited liability of shareholders

Mutual agency

Continuous existence

Centralized authority

Partnership liabilities, partnership capital balances and partnership loans

Partnership liabilities, partnership loans and partnership capital balances.

Partnership drawings, partnership liabilities, partnership loans and partnership capital balances

Partnership liabilities, partnership loans, partnership drawings and partnership capital balances

Those owing to outside creditors

Those owing to the partners with respect to their share of the profits

Those owing to the partners with respect to their capital contibutions

Those owing to inside creditors in the form of loans or advances for business expenses by the partners

Those owing to outside creditors

Those owing to the partners with respect to their share of the profits

Those owing to the partners with respect to their capital contibutions

Those owing to inside creditors in the form of loans or advances for business expenses by the partners

To the partners by way of additional contributions when the assets of the partnership were insufficient to settle all obligations

To partnership and separate creditors in the ratio of their loan exposures

To separate creditors

To partnership creditors

To the partners by way of additional contributions when the assets of the partnership were insufficient to settle all obligations

To partnership and separate creditors in the ratio of their loan exposures

To separate creditors

To partnership creditors

Incapacity of a partner

Negative capital balance of a partner

Bankruptcy of a partner

Admission of a new partner

Right of succession

Right of pre-emption

Right of existence

None of the above

An artificial being with a personality separate and apart from its shareholders

Created by operation of law

Enjoys right of succesion

Has the powers, attributes and properties expressly authorized by law of incident to its existence

None of the above

Market value

Par value

Liquidation value

Book value

None of the above

For less than P5.00

With preference as to assets or as to dividends

Without being fully paid

All of the above

Board of directors

Majority shareholders

Minority shareholders

None of the above

The receipt of share in profit by an existing partner

The withdrawal of a partner from a partnership

The contribution of additional assets to the partnership by an existing partner

The winding up of the partnership and the distribution of remaining assets to the partners.