Which of the Following Is True of a General Partnership

question 80

Multiple Choice

Which of the following is true of a general partnership?

• A)A business must generate a profit in order to qualify as a general partnership.
• B)The general partners need not be the co-owners of the business.
• C)A general partnership may be formed with little or no formality.
• D)Charity organizations and schools are usually formed as general partnerships.

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Definitions:

Rental Rates

The cost of leasing a particular property, often expressed as a price per square foot or a monthly fee.

Inflation

The speed at which the average cost of products and services escalates, reducing purchasing capability.

Investment Objectives

Specific financial goals and criteria determined by the investor that guide investment decisions and strategies.

Asset Allocation

The strategic distribution of investment across various asset classes such as stocks, bonds, and real estate to optimize risk and return.