Asked by Brady Kelly on May 11, 2024
Verified
The process of going out of business by selling the entity's assets and paying its liabilities
A) Partnership
B) Partnership agreement
C) Distribution of remaining cash to partners
D) Mutual agency
E) Equally
F) Death of a partner
G) Liquidation
H) Unlimited liability
Liquidation
The process of closing a business and distributing its assets to claimants, often done when a company is insolvent.
Going Out Of Business
The process of closing a company permanently, often involving selling off assets and paying off creditors.
- Explain the fundamental terms and ideas associated with partnerships, such as mutual agency, liquidation, and unlimited liability.
Verified Answer
AA
Angelina Angelina1May 14, 2024
Final Answer :
G
Explanation :
Liquidation refers to the process of going out of business by selling the entity's assets and paying its liabilities.
Learning Objectives
- Explain the fundamental terms and ideas associated with partnerships, such as mutual agency, liquidation, and unlimited liability.