Asked by Hunter Thomason on Jun 11, 2024
Verified
What events cause the dissolution of a partnership?
Dissolution
The process of legally dissolving a business entity, which includes disbanding its operations and distributing its assets.
Partnership
An officially recognized form of commercial enterprise undertaken by at least two individuals, involving joint management and profit allocation.
- Recognize the circumstances that lead to the dissolution of a partnership.
Verified Answer
SP
Sidoney Pratt IG: ImperfectlySidJun 12, 2024
Final Answer :
The dissolution of a partnership occurs whenever there is a change in the members that make up the partnership. Dissolution does not mean going out of business, although, on occasion, dissolution would be accompanied by liquidation of assets and termination of the business. Dissolution would occur whenever a new partner is admitted to the partnership, dissolving one partnership and forming a new one. Dissolution also occurs when a partner leaves the partnership or when a partner dies or retires. The Articles of Partnership may allow the partners to force dissolution under some circumstances.
Learning Objectives
- Recognize the circumstances that lead to the dissolution of a partnership.
Related questions
A Partnership Can Be Terminated by Which of the Following ...
When a Partnership Is Dissolved ...
Amos,Beverly,Carlos,and Dan Were Partners in a Partnership in Which the ...
Dissolution of a Partnership Can Occur Under the Limited Life ...
According to the Revised Uniform Limited Partnership Act, Which of ...