New partners will always be admitted to a partnership at a contribution equal to or greater than the book value of their interest.

Name: New partners will always be admitted to a partnership at a contribution equal to or greater than the book value of their interest.
Brand: Quizplus
Rating: 4.9 (41 reviews)

Question

Quizplus · Accepted Answer

The statement is not necessarily true. Partners may agree to admit a new partner at a contribution below book value, for example, if the new partner is bringing valuable skills or expertise to the partnership.

New Partners Will Always Be Admitted to a Partnership at a Contribution