Which of the Following Is TRUE of Ownership Changes in a Partnership

question 40

Multiple Choice

Which of the following is TRUE of ownership changes in a partnership?

• A) Admitting a new partner does not change the core structure of the old partnership.
• B) The purchase of an existing partner's interest is a transaction between the new partner and the partnership firm.
• C) Any time the partner mix changes, the old partnership ceases to exist and a new partnership begins.
• D) A person can become a partner by purchasing an existing partner's interest, even without the approval of the other partners.

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Definitions:

Fish

Aquatic animals that are caught or farmed for human consumption, as well as for recreational fishing, aquarium keeping, and other uses.

Inefficient Combination

A situation where resources are not being used to their fullest potential, resulting in wasted capacity or unmet demand.

Coconuts

Tropical fruits with a hard shell, edible white flesh, and clear liquid inside, widely used for their water, milk, oil, and meat.

Fish

Aquatic animals that are a source of food, recreation, and commercial activity for humans, playing a crucial role in many ecosystems.