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Where a Partnership Agreement Provides for the Sharing of Profits

Question 26

Multiple Choice

Where a partnership agreement provides for the sharing of profits but is silent as to how losses are to be shared,________.


A) losses are shared in the same proportion as profits
B) losses are shared in greater proportion than profits
C) profits are shared in greater proportion than losses
D) losses are absorbed by the partnership entity rather than borne by the individual partners

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