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When an Additional Partner Is Admitted to a Partnership by Contribution

Question 89

Multiple Choice

When an additional partner is admitted to a partnership by contribution of assets to the partnership,


A) the total assets of the partnership do not change
B) no liabilities can be contributed at the same time
C) the amount of the cash contribution is the same as the amount of the debit to the new partner's capital account
D) the total of the owners' equity accounts increases

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