Upon the death of a partner, the insurance proceeds can be used to keep the business going or to buy out the deceased partner's interest under a/an ____.

Question

Upon the death of a partner, the insurance proceeds can be used to keep the business going or to buy out the deceased partner's interest under a/an ____. ​

Quizplus · Accepted Answer

A buy/sell agreement is specifically designed for situations like the death of a partner, where it allows the surviving partners to buy out the deceased partner's interest, often using insurance proceeds. This helps ensure the continuity of the business.

Upon the Death of a Partner, the Insurance Proceeds Can