Which of the following concepts (or principles)addresses the ability of partners to commit other partners and the business to a contract?
A) Going-concern concept
B) Cost principle
C) Mutual agency
D) Objectivity principle

Question

Quizplus · Accepted Answer

The principle of mutual agency allows partners to commit other partners and the business to a contract. This means that one partner's actions can bind the entire partnership, making it important for partners to trust each other and work together effectively. The other options listed are accounting concepts or principles that do not relate to the ability of partners to commit the business to a contract.

Which of the Following Concepts (Or Principles)addresses the Ability of Partners