Which of the following reasons is not a reason that Atlas Door could lose competitive advantage?
A. It has strong power over its distributors.
B. Its technologies are non-proprietary.
C. A new rival with a strong resource base could undercut its prices.
D. A rival easily could hire away its talented employees.
Answer: A
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Partners Ken and Macki each have a $40,000 capital balance and share income and losses in a ratio of 3:2 . Cash equals $20,000, noncash assets equal $120,000, and liabilities equal $60,000 . If the noncash assets are sold for $80,000, the Macki's capital account will
a. decrease by $16,000 b. decrease by $24,000 c. increase by $24,000 d. decrease by $40,000
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