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Reem and Maria are best friends. They entered into a partnership agreement. Each of them put up $5,000 for the flower shop that they established. They agreed that Maria will run the business and Reem will just share in the profits. Everything went well for three years. In the 4th year, because of the pandemic, the business ran into some financial problems. It could not pay the bank loan in the amount of $30,000.000. Reem, who is employed with an airline company, had money in her savings account in the amount of BD50,000.000. Maria only had BD2,000.000 in her account. The bank took BD30,000.000 from Reem’s account and because of it, she complained to the bank. Was Reem right in her claim that she should

not be made to pay the BD30,000.000? If yes, why? If no, why not? Justify your answer citing the part of the lesson discussed in class.

1 Answer

4 votes

Step-by-step explanation:

Yes because Maria was the one who runs the business so she should pay for the Loss made