Abby, Igor, Ted, and Tim operated a restaurant in partnership. Ted received a letter from his alma mater university offering him an opportunity to teach hospitality courses there. Ted always wanted to teach; he left the partnership. The firm wanted to announce that Ted was no longer their partner since Ted had been handling a lot of purchases and dealing with some big customers. Which of the following statements could they file in order to do so?

Question

Quizplus · Accepted Answer

A statement of dissociation is used to announce that a partner has left the partnership. In this case, Ted has left the partnership because he has accepted an opportunity to teach at his alma mater university. The partnership wants to announce that Ted is no longer their partner, so a statement of dissociation is the best choice for this situation. A statement of partnership authority outlines the authority of the partners in managing the business. A statement of dissolution is used to announce that the partnership is being terminated. A statement of denial is used to deny allegations made against a person or organization. A statement of liquidation is used to announce that a partnership is closing and its assets will be sold to pay off its debts.

Abby, Igor, Ted, and Tim Operated a Restaurant in Partnership