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Decision Case P-1 The following questions relate to issues faced by partnerships.
1. The text states that a written partnership agreement should be drawn up between the partners. One benefit of an agreement is that it provides a mechanism for resolving disputes between the partners. List five areas of dispute that might be resolved by a partnership agreement.
2. The statement has been made that "if you must take on a partner, make sure the partner is richer than you are." Why is this statement valid?
3. Loomis & Nelson is a law partnership. Don Loomis is planning to retire from the partnership and move to Canada. What options are available to Loomis to enable him to convert his share of the partnership assets to cash?
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