If you were considering selling $1 million worth of computer equipment to a partnership on credit, which of the following factors would influence your assessment of the ability of the partnership to pay you back?

Question

Quizplus · Accepted Answer

The value of the personal assets of the individual partners is a key factor in assessing the ability of the partnership to pay back the credit. It indicates the partners' overall financial strength and ability to provide a personal guarantee for the loan. The value of the assets of the spouses, employee assets, and will designations do not have a direct impact on the partnership's ability to pay back the loan. The indemnification agreement between partners may impact their relationship with each other and their individual liability, but it does not influence the partnership's ability to pay back the loan.

If You Were Considering Selling $1 Million Worth of Computer