Loans are sums of money that are expected to be paid back with interest or in full
When a partnership is liquidated, the journal entry to pay the claims of creditors would include a debit to:
B.) each individual creditor and a credit to cash.
When you liquidate a partnership, liabilities must be paid off before partner's investments can be returned to them. In this way, all creditors will be satisfied even if the partner's capital experienced a loss.
Answer:
The correct answer is: Risk Control.
Explanation:
Risk Control is the steps a firm takes to find possible losses and mitigate them. In the process, the company may find risk factors within the production process that are technical -inherent to the equipment, or non-technical -employees unsatisfied with wages that could lead to a strike, for instance. Risk control aims to set several actions that could avoid further problems in the prejudice of the organization.
They generally take in more in premiums than they pay out.