James and John Go into Business Together as Partners

question 57

True/False

James and John go into business together as partners.They each decide to make contributions to the business of the partnership.James has two vans worth $15 000,which he gives to the partnership.John owns an old farmhouse worth $60 000 that they decide can be used as a warehouse,and John gives it to the partnership.Five years later,there is a falling out and they decide to end the partnership.By this time the warehouse is worth $80 000 and the vans are worth $12 000.John will be entitled to $80 000 and James will be entitled to the depreciated value of the vans,namely $12 000.

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Definitions:

American Family

A diverse and evolving concept reflecting various cultural, social, and economic backgrounds of families living in the United States.

Unmarried Adults

Individuals who are of legal adult age but have not entered into a legal marriage.

Divorce Rate

The proportion of marriages that end in divorce over a specific period, often expressed as divorces per 1,000 population annually.

Cohabiting Parents

Couples who live together without being married and have one or more children, either from the relationship or previous relationships.