A Disadvantage of a General Partnership Is That

question 16

Multiple Choice

A disadvantage of a general partnership is that:

• A)there is difficulty in the formation of the company.
• B)it involves double taxation for the partners.
• C)there is difficulty in withdrawing from the company.
• D)their financial base is usually weaker than that of a sole proprietorship.

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Definitions:

Antipoverty Program

Initiatives or policies designed to reduce poverty levels and improve the economic conditions of the less privileged in a society.

Earned Income Tax Credit

A refundable tax credit for low- to moderate-income working individuals and families, particularly those with children.

Means-Tested

A method for determining whether an individual or family is eligible for government assistance based on their income or resources.

In-Kind Benefit

Non-monetary compensation or goods and services provided instead of cash, often used in social welfare programs or employee benefits.