A Partner Is Not Liable for Honest Errors in Judgment

question 41

True/False

A partner is not liable for honest errors in judgment in conducting partnership business.​

---

Definitions:

Fixed Expenses

A repackaged definition of fixed costs emphasizing their nature as constant across different levels of output or sales.

Selling Price

The amount of money charged to the buyer for a product or service.

Net Income

The total profit of a company after all expenses and taxes have been deducted from revenue, indicating the company's bottom line.

Variable Expenses

Expenses that change in proportion to the activity of a business, similar to variable costs.