Multiple Choice
When a partner is unable to pay a capital deficiency:
A) The partner must take out a loan to cover the deficient balance.
B) The deficiency is absorbed by the remaining partners before distribution of cash.
C) The partnership ends before distribution of cash.
D) The deficient partner is relieved of the liability.
E) The remaining partners must wait for the deficiency to be paid before cash is distributed.
Correct Answer:
Verified
Correct Answer:
Verified
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