Develop brief answers to each of the following questions: 1. If the value of a partnership is

Question:

Develop brief answers to each of the following questions:

1. If the value of a partnership is worth far more than the book value of the assets on the balance sheet, would a new partner entering the partnership be more likely to pay a bonus to the old partners or receive a bonus from the old partners?

2. When a partnership is dissolved, what is an alternate approach to selling all the assets and distributing the proceeds, and what decisions will have to be made if this approach is taken?

Partnership
A legal form of business operation between two or more individuals who share management and profits. A Written agreement between two or more individuals who join as partners to form and carry on a for-profit business. Among other things, it states...