Abram, Bob and Cathy are in a partnership trading as retailers for stationery products. In...

90.2K

Verified Solution

Question

Accounting

image

Abram, Bob and Cathy are in a partnership trading as retailers for stationery products. In terms of their partnership agreement only Abram has the right to represent the partnership. For the past two years Bob has regularly entertained clients at Dick's Restaurant, and the corporation has never hesitated to settle the account. On his fortieth birthday Bob treats his friends to a lavish dinner at Dick's Restaurant and charges the bill to the corporation's account. Abram and Cathy are furious, but Bob does not have the money to settle the account personally. Can Dick's Restaurant hold the partnership liable? Discuss in full. [9]

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students