Leung, Lidder, and Lang have shared an equal stake as partners in a sports bar for the

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Leung, Lidder, and Lang have shared an equal stake as partners in a sports bar for the past three years. The partnership is being dissolved, as Leung is moving to England and leaving the firm. Lidder and Lang plan to carry on the business. In the final settlement, Leung places a $75,000 salary claim against the partnership. He contends that he has a claim for a salary of $25,000 for each year because he devoted all of his time for three years to the affairs of the partnership. Is his claim valid? Why?

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Fundamental Accounting Principles Volume 2

ISBN: 9781260881332

17th Canadian Edition

Authors: Kermit D. Larson, Heidi Dieckmann, John Harris

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