Partners' Personal Assets Can Be Reached by Partnership Creditors

question 78

True/False

Partners' personal assets can be reached by partnership creditors.

---

Definitions:

Net Income

The total profit of a company after all expenses and taxes have been deducted from total revenue.

Common Stock

Shares that constitute ownership in a corporation, providing voting rights and entitling shareholders to a portion of the company’s profits through dividends.

Cash Dividend

A payment made by a company to its shareholders, usually in cash, out of its profits or reserves.

Bond Payable

A long-term debt instrument issued by corporations and governments, promising to pay the bondholder a specified sum of money at future dates.