Final answer:
It is false that capital credit is always obtained by multiplying the total agreed capital by a partner's percentage; partner equity involves direct contributions and can change over time.
Step-by-step explanation:
The statement that capital credit is the equity of a partner in the new partnership and is obtained by multiplying the total agreed capital by the corresponding percentage of the partner is false. In a partnership, capital credit or a partner's equity is generally the amount of money that a partner contributes directly to the partnership. It does not solely depend on a multiplication of the total capital by the partner's percentage share. Instead, each partner may contribute a different amount of capital, which could be in the form of cash, property, or other assets, each valuated and agreed upon by the partners. Moreover, a partner's share and responsibility in the partnership might alter with additional contributions or withdrawals over time.