Selling property, plant, and equipment for $10,000 cash is considered a cash inflow from investing activities on the statement of cash flows

Which of the following would NOT be a valid use of the partnership democracy?

A) Deciding which partnership assets should be liquidated to pay creditors. B) Consenting to an action of a general partner that is contrary to the agreement of limited partnership. C) Consenting to a legal judgment against the partnership. D) Removing the general partner.

What is the chief disadvantage of the sole proprietorship as a form of business organization when compared to the corporate form?

A) Sole proprietorships are subject to double taxation of profits. B) The cost of formation. C) Inadequate profit sharing. D) Owners have unlimited liability.