Computers-B-Us Is a New Company

question 205

Multiple Choice

Computers-B-Us is a new company. Its owners all have no personal liability for any debts of the company. All five of its owners invested the same amount and will share equally in the profits. The structure of Computers-B-Us is most likely a

• A) private corporation.
• B) co-operative.
• C) limited partnership.
• D) general partnership.
• E) sole proprietorship.

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Definitions:

Misrepresentation

The act of providing false or misleading information, often to persuade someone to enter into a contract.

Avoid a Contract

To declare a contract null and void, either because it is legally defective or through mutual agreement between the parties.

Affirming

is the process of confirming, validating, or stating positively.

Avoid a Contract

The act of nullifying or declaring a contract invalid, thereby releasing the parties from their obligations under that contract.