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When a New Person Wishes to Be Admitted to an Existing

question 67

True/False

When a new person wishes to be admitted to an existing partnership on an equal profit-sharing basis,the amount the new person must invest to be admitted is not necessarily tied to the total capital of the partnership.


Definitions:

Durable Products

Items designed for long-term use and made to withstand wear and tear over time, reducing the need for frequent replacement and hence reducing waste.

Biodegradable Material

Substances that can be broken down naturally by microorganisms into simpler, non-toxic components, reducing environmental impact.

Households

Units of living or domestic arrangements composed of one or more people who share living quarters and provisions for daily living.

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