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Is it possible to invest assets into a partnership and be given a zero capital balance?

1) Yes
2) No

1 Answer

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Final answer:

Yes(1), it is possible to invest assets into a partnership and be given a zero capital balance by offsetting the contribution with a corresponding positive capital withdrawal.

Step-by-step explanation:

Yes(1), it is possible to invest assets into a partnership and be given a zero capital balance. In a partnership, partners can contribute assets like money, property, or equipment to the partnership. If a partner contributes assets but wants to have a zero capital balance, they can offset their contribution with a corresponding positive capital withdrawal, effectively cancelling out their initial investment and resulting in a zero capital balance.

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