Amy and Lester are partners in operating a store. Without consulting Amy, Lester enters into a contract to purchase $10,600 of merchandise for the store. Amy says she did not authorize the order and that she could have purchased the same merchandise for $7,600, Amy refuses to pay for the order. The vendor sues the partners. a. Must the partnership pay for the merchandise? If yes, how much? b. Assuming the partnership is a general partnership, can Amy's personal assets be taken to pay for the merchandise? Complete this question by entering your answers in the tabs below. Required Required B Must the partnership pay for the merchandise? If yes, how much? Partnership pay for the merchandise

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Amy and Lester are partners in operating a store. Without consulting Amy, Lester enters into a contract to purchase $10,600 of
merchandise for the store. Amy says she did not authorize the order and that she could have purchased the same merchandise for
$7,600. Amy refuses to pay for the order. The vendor sues the partners.
a. Must the partnership pay for the merchandise? If yes, how much?
b. Assuming the partnership is a general partnership, can Amy's personal assets be taken to pay for the merchandise?
Complete this question by entering your answers in the tabs below.
Required Required B
Must the partnership pay for the merchandise? If yes, how much?
Partnership pay for the merchandise
Required A
Required B >
Transcribed Image Text:Amy and Lester are partners in operating a store. Without consulting Amy, Lester enters into a contract to purchase $10,600 of merchandise for the store. Amy says she did not authorize the order and that she could have purchased the same merchandise for $7,600. Amy refuses to pay for the order. The vendor sues the partners. a. Must the partnership pay for the merchandise? If yes, how much? b. Assuming the partnership is a general partnership, can Amy's personal assets be taken to pay for the merchandise? Complete this question by entering your answers in the tabs below. Required Required B Must the partnership pay for the merchandise? If yes, how much? Partnership pay for the merchandise Required A Required B >
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