The acquisition of an ownership interest by a new partner directly from an existing partner does not change either total assets or net assets of a limited liability partnership.

Question

Quizplus · Accepted Answer

When a new partner acquires an ownership interest directly from an existing partner, the transaction is between the two partners, and the partnership's total and net assets remain unchanged because the partnership itself is not involved in the transaction.

The Acquisition of an Ownership Interest by a New Partner