Compared to a Sole Proprietorship, Which of the Following Is

question 268

Multiple Choice

Compared to a sole proprietorship, which of the following is considered an advantage of a general partnership?

• A) Ability to pool financial resources
• B) Unlimited liability for all owners
• C) Division of profits among owners
• D) Ease and flexibility in transferring shares of ownership to others

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Definitions:

Essential Rationality

The assumption that individuals or organizations act based on logical consideration of available information to achieve their goals.

Creativity

Creativity is the ability to produce original and valuable ideas or solutions by thinking beyond established norms.

Vision

A mental image of a possible and desirable future state of the organization.

Framing Error

A mistake that occurs when information is presented or perceived in a way that biases or distorts decision making.