Solved

The Most Appropriate Basis for Dividing Partnership Net Income When

Question 78

Multiple Choice

The most appropriate basis for dividing partnership net income when the partners do not plan to take an active role in daily operations is


A) on a fixed ratio.
B) interest on capital balances and salaries to the partners.
C) on a ratio based on average capital balances.
D) salaries to the partners and the remainder on a fixed ratio.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents