Question

Question 32 (2 points) Dissolution, winding up, and termination are the three steps to terminating a limited or general partnership True False

Answer 1

Answer 32:

The correct answer to the given question would be True

Reason/Explanation:

Dissolution refers to the first step in the termination process of partnership, which shows that the relationship of the partnership has been ended due to a specific kind of the reason such as the partner resigns from the partnership, a partner dies, partner retires, the business of the partnership firm is proved to be illegal, etc.

Winding up refers to the second step in the termination process of partnership, wherein the formalities of the termination are done, such as different stakeholders (like creditors) are notified about the termination, bank accounts in the name of the firm are closed, business licenses and other permissions are canceled out, etc.

Upon the completion of the winding-up process, the partnership firm is terminated.

Hence, from the above discussion, we may conclude that the statement given in the question is true.

Answer 33:

The correct answer to the given question would be True

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