The Polen-James Partnership Is Terminated When Creditor Claims Exceed Partnership

question 166

Multiple Choice

The Polen-James partnership is terminated when creditor claims exceed partnership assets by $40,000. James is a millionaire and Polen has no personal assets. Polen's partnership interest is 75% and James's is 25%. Creditors

• A) must collect their claims equally from Polen and James.
• B) may collect the entire $40,000 from James.
• C) must collect their claims 75% from Polen and 25% from James.
• D) may not require James to use his personal assets to satisfy the $40,000 in claims.

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Definitions:

Hybrid Sterility

A condition in hybrid animals or plants where they are unable to produce offspring due to genetic and chromosomal differences between the parents.

Hybrid Inviability

Hybrid inviability is a postzygotic barrier where hybrid offspring fail to survive to maturity, reducing the chances of genes being exchanged between different species.

Temporal Isolation

A mechanism of reproductive isolation in which two species breed at different times, preventing them from interbreeding.

Hybrid Breakdown

A postzygotic barrier where hybrid offspring have reduced survival or fertility rates.