Roberts, Smith, and Thomas have been partners for twenty years.The partners, however, are now collecting debts, converting assets to cash, paying creditors, and distributing remaining assets to each partner.Roberts, Smith, and Thomas are engaged in:
A) marshaling assets.
B) reformation.
C) winding up.
D) dissolution.

Question

Quizplus · Accepted Answer

Winding up refers to the process of settling the accounts and liquidating the assets of a partnership after its dissolution to pay off its debts and distribute the remaining assets among the partners.

Roberts, Smith, and Thomas Have Been Partners for Twenty Years