In the preparation of an advance plan for installment payments of cash to partners of a liquidating limited liability partnership, each partner's capital per unit of income sharing is computed by:

Question

Quizplus · Accepted Answer

C) is correct because it accurately describes a method for computing a partner's capital per unit of income sharing by adjusting the capital account for any loans and then dividing by the income-sharing ratio, which is a common approach in partnership accounting.

In the Preparation of an Advance Plan for Installment Payments