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Problem 1: Which statement is incorrect regarding partnership agreements?
a. They should specify the rights and duties of the partners.
b. Oral agreements are preferable to written agreements.
c. They may be referred to as deeds of partnership
d. They should state procedures for settling disputes among the partners.
Problem 2: A partnership records a partner's investment of assets in the business at the
a. partner's net carrying value of the assets invested.
b. historical cost of the assets invested.
c. residual value of the assets invested.
d. fair market value of the assets invested.
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