Under the Revised Uniform Partnership Act (RUPA), When a Partnership

question 5

Multiple Choice

Under the Revised Uniform Partnership Act (RUPA) , when a partnership that has suffered losses winds up, _____.

• A) all partners are paid in full before outside creditors who loaned money are given anything
• B) all partnership creditors are paid first
• C) all partnership creditors are paid even when all the partners' capital accounts are negative
• D) the partners who have negative capital accounts are not required by law to contribute to the partnership the amount of the deficiency

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Definitions:

Core Values

Fundamental beliefs or principles that act as guiding lights for behavior and decision-making within an organization or individual life.

Ethical Decision Making

The process of evaluating and choosing among alternatives in a manner consistent with ethical principles, considering the impact of decisions on stakeholders.

Firm's Purpose

The fundamental reason for a company's existence beyond just making profits, often reflecting its values, mission, and the positive impact it aims to create for stakeholders.