Carol and Candace Are Equal Partners in Peach Partnership

question 62

True/False

Carol and Candace are equal partners in Peach Partnership. In the current year, Peach had a net profit of $75,000 ($250,000 gross income - $175,000 operating expenses) and distributed $25,000 to each partner. Peach must pay tax on $75,000 of income.

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Definitions:

Increases

The act or process of becoming larger or greater in size, number, amount, degree, or intensity.

Decreases

A reduction in size, number, value, or extent of something.

Temperament

Genetically based behavioral tendencies seen in young children.

Personality

The combination of characteristics or qualities that form an individual's distinctive character.