Which of the Following Statements Is True About Partnership Accounting

question 51

Multiple Choice

Which of the following statements is true about partnership accounting?

• A)A particular partner's capital account is debited when a withdrawal takes place by that partner.
• B)Through the closing entry process for a partnership,a positive net income results in an increase in overall partner capital.
• C)The total of the drawing account balances are subtracted to arrive at the net income to allocate to the partners.
• D)The partner's drawing account is closed to retained earnings at the end of the period.

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Definitions:

Organized Crime

Criminal activities carried out by structured groups engaged in illegal enterprises, such as trafficking, corruption, or extortion.

Prohibition

The legal act of forbidding something, typically referring to the historical ban on alcohol in the US.

Organized Crime

The planned and coordinated activities of individuals or groups engaged in illegal enterprises, such as drug trafficking, extortion, or money laundering, often with the intent of gaining power, money, or influence.

Pharmaceutical Executives

Senior professionals in the pharmaceutical industry responsible for strategic decision-making, operations, and the development and marketing of drugs.