Question

In admission by purchase, payment is made personally to the partner from whom the interest is bought, resulting to mere transfers among capital accounts.

a. True
b. False

Answer 1

The statement about proprietors in proprietary colonies having no responsibilities except to collect profits is false. They had many responsibilities including managing the colony's welfare, laws, and trade. The statement about sharecroppers is true; they were tenant farmers paying rent with crop shares.

Step-by-step explanation:

The statement, "In a proprietary colony, the Proprietors have no responsibilities except to collect the profits," is false. Proprietors in a proprietary colony had several responsibilities aside from collecting profits.

They were responsible for managing the colony which included making local laws and regulations, administrating justice, and ensuring the colony's overall welfare. Additionally, proprietary colonies often had to manage relations with Indigenous peoples, establish trade, and encourage settlement to ensure the colony's growth and prosperity.

Similarly, sharecroppers were indeed tenant farmers who paid their rent with shares of their crops. This arrangement was particularly common in the Southern United States during the Reconstruction era and beyond. The statement describing sharecroppers is true.