Which of the Following Is Not an Assumption to Make

question 43

Multiple Choice

Which of the following is not an assumption to make when determining safe payments during partnership liquidation?

• A)​Unsold non cash assets are assumed to be worthless
• B)​The partner with the highest capital balance will be the first to receive a safe payment
• C)​Partners will not have deficit balances
• D)​Liquidation expenses can exceed capital balances

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Definitions:

Deliver

The process of transporting goods from a source location to a predetermined destination, fulfilling customer orders or supply needs.

Milk Runs

A logistics strategy where a single vehicle collects loads from several suppliers in a single journey, optimizing transport efficiency and reducing costs.

Supply Chain

The network of organizations involved in producing, handling, and distributing goods or services from production to the end consumer.

Cost

The value of money that has been used up to produce something or deliver a service, and hence is not available for use anymore.