If All Partners Are Included in the First Installment of an Installment

question 8

Multiple Choice

If all partners are included in the first installment of an installment liquidation,then in future installments

• A)cash will be distributed according to the residual profit and loss sharing ratios.
• B)cash should not be distributed until all non-cash assets are converted into cash.
• C)vulnerability rankings for each partner should be prepared.
• D)a cash distribution plan must be prepared so that partners will know when they will be included in cash distributions.

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