Which of the Following Methods of Distributing Income and Losses

question 7

Multiple Choice

Which of the following methods of distributing income and losses cannot be accomplished (cannot stand alone) ?

• A)Capital balance ratio alone
• B)Interest and stated ratio alone
• C)Stated ratio alone
• D)Salary alone

---

Definitions:

Primary Wrongdoers

Individuals or entities directly responsible for a tortious act or violation, distinguished from secondary parties who may also bear liability.

Appointed By President

Refers to individuals who are chosen and assigned roles or positions within the government by the President, often subject to confirmation by the legislature.

Securities Act

A U.S. law enacted in 1933 that requires that investors receive financial and other significant information concerning securities being offered for public sale.

Financial Instruments

Contracts that give rise to both a financial asset of one entity and a financial liability or equity instrument of another entity, including stocks, bonds, and derivatives.