Gilligan, Skipper, and Professor Are Partners with a Profit and Loss

question 4

Multiple Choice

Gilligan, Skipper, and Professor are partners with a profit and loss ratio of 4:3:3. The partnership was liquidated and, prior to the liquidation process, the partnership balance sheet was as follows: After the partnership was liquidated and the cash was distributed, Skipper received $96,000 in cash in full settlement of his interest. The liquidation loss must have been:

• A) $360,000
• B) $144,000
• C) $504,000
• D) $480,000

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Definitions:

Downward Communication

A form of organizational communication that flows from higher levels of management to subordinate levels.

Grapevine Communication

Informal information exchange among people in an organization, often involving rumors or unsubstantiated facts.

Downward Communication

Information flow from higher levels of an organization's hierarchy to the lower levels, often involving directives, updates, or feedback.

Interpersonal Level

Pertaining to or involving relationships between individuals.