Partnerships Dissolution (Part I)

Question 1

When is dissolution caused?

Answer 1

Change in the relation of the parts and as a new partner comes in or leaves the causes

Question 2

Without violation of the agreement between the partners is one way how partnerships dissolve. True or False?

Answer 2

True

Question 3

Without violation of the agreement between partners by termination of the definite term is one of the reasons how partnerships dissolve. True or False?

Answer 3

True

Question 4

Which among the reasons that are NOT reasons why partnerships dissolve?

A. By the termination of the definite term
B. By the express will of any partner
C. By the express will of all partners who have not assigned their interests
D. By the express will of all partners who have not suffered them to be charged for their separate debts
E. By the expulsion of any partner from the business

Answer 4

D. By the express will of all partners who have not suffered them to be charged for their separate debts.

It must be by the express will of all partners who HAVE SUFFERED

Question 5

Any partner can say that they want to dissolve the partnership. True or False?

Answer 5

True

Question 6

A partner can not invest in a partnership. True or False?

Answer 6

False. It can be grounds for partnership dissolution

Question 7

When an investment is ruined after investing, it can be grounds for dissolution of the partnership. True or False?

Answer 7

False. Partnership dissolution happens when a partner is not able to invest first

Question 8

What is insolvency?

Answer 8

It is when the liabilities of partnership can’t be paid due to insufficient funds

Question 9

What are grounds for dissolution in a partnership?

A. By the death of any partner
B. By the insolvency of any partner
C. By the imprisonment of a partner
D. By the unlawful operations of the partnership
E. All of the above

Answer 9

E. All of the above

Question 10

Total assets and capital of a partnership are not affected by admission of new partner by purchase of interest. Why?

Question 11

Dissolution does not mean actual cessation of business of the partnership. True or False?

Answer 11

True

Question 12

Does liquidation always occur when there is dissolution in a partnership?

Answer 12

No.

Question 13

At what occurrence when a partnership goes through dissolution ONLY?

Answer 13

When a new partner is admitted into the partnership