Roberts, Smith, and Thomas have been partners for twenty years. The partners, however, are now collecting debts, converting assets to cash, paying creditors, and distributing remaining assets to each partner. Roberts, Smith, and Thomas are engaged in:
A) dissolution.
B) marshaling assets.
C) reformation.
D) winding up.

Question

Quizplus · Accepted Answer

The process described involves collecting debts, converting assets to cash, paying creditors, and distributing remaining assets to partners, which are activities associated with "winding up" a partnership. This is the phase that follows the dissolution of a partnership where its affairs are concluded.

Roberts, Smith, and Thomas Have Been Partners for Twenty Years