Which One of the Following Statements Is Correct with Respect

question 119

Multiple Choice

Which one of the following statements is correct with respect to the creation of a partnership agreement?

• A) Where two people agree to enter into a partnership, there is no partnership created unless all of the elements of a contract are present.
• B) A partnership can be created only by contract.
• C) For a partnership to exist, the relationship giving rise to it must be of an ongoing business nature, not a one-time promotion.
• D) A partnership can be created by an intention to share the revenues between the partners.
• E) For a person to be a limited partner, there must be at least two general partners.

Recognize the importance of past experiences and personal choices in determining future happiness.

Identify the factors that contribute to subjective well-being and life satisfaction.

Distinguish between different types of reasoning and recognize common logical fallacies.

Understand the impact of major life events on an individual's happiness or adjustment.

---

Definitions:

Time Value

The understanding that possessing money today has greater value than possessing the same amount in the future, attributed to its capacity to yield earnings.

Compound Interest Rate

The rate at which interest on a deposit or loan is calculated based on both the initial principal and the accumulated interest from previous periods.

Annuity Stream

A series of fixed payments made at regular intervals, such as monthly or annually, over a specified period or for a lifetime.

Effective Annual Rate

The actual return on an investment or the real rate of interest on a loan, taking into account the effect of compounding over a period.