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If a Partner Who Retires from a Limited Liability Partnership

Question 24

Multiple Choice

If a partner who retires from a limited liability partnership receives an amount of cash less than the partner's capital account balance:


A) Identifiable net assets of the partnership should be written down
B) Bonuses should be allocated to the continuing partners
C) "Negative goodwill" should be recognized by the partnership
D) None of the foregoing should take place

Correct Answer:

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