Asked by Jenifer Lalnunkimi on Apr 25, 2024

Distributions-in-kind during a winding up occurs when:

A) partners receive proceeds from the partnership's assets.
B) partners receive the assets rather than proceeds from their sale.
C) partners receive the assets they personally attributed to the partnership.
D) partners receive bonuses when the sale of their assets is more than their debt.

Distributions-in-Kind

Non-cash assets paid out to investors or partners from a firm or fund.

Partnership's Assets

Items of value owned by a partnership that are used or can be used to conduct its business.

  • Familiarize oneself with critical legal concepts involved in the termination, liquidation, and the responsibilities of partners within these processes.