Which of the Following Statements Is Correct with Respect to Limited

question 111

Multiple Choice

Which of the following statements is correct with respect to limited partnerships?

• A) A limited partnership is created where all of the partners state in the partnership agreement that they will not be responsible for debts arising out of the partnership business and register as such with the government.
• B) A limited partner is totally protected and can lose no money.
• C) A limited partner can lose his status as a limited partner if he participates in the management of the business.
• D) There can be no limited partnerships in Canada. If limited liability is desired, a corporation must be created.
• E) There can only be one limited partner in any partnership, no matter how many partners are involved.

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Definitions:

Economic Development

The process by which a nation improves the economic, political, and social well-being of its people.

Industrial Revolution

A period of major industrialization that took place during the late 1700s and early 1800s, marked by significant technological advancements and changes in manufacturing processes.

Early Years

The initial stages or period of existence of a person, organization, or phenomenon.

Century

A period of one hundred years.