Which of the Following Is True of a General Partner

question 89

Multiple Choice

Which of the following is true of a general partner of a limited liability partnership (LLP) ?

• A) A general partner of a limited liability partnership (LLP) is fully personally liable for all business debts.
• B) A general partner of a limited liability partnership (LLP) is liable for the negligence, irresponsibility, or similar acts committed by any other partner.
• C) A general partner of a limited liability partnership (LLP) is considered as an investor only.
• D) A general partner of a limited liability partnership (LLP) is liable only to the extent of his/her investment in the partnership.
• E) A general partner of a limited liability partnership (LLP) is taxed for the limited partners' share of the partnership's income.

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Definitions:

License Fee

A charge paid for permission to use intellectual property, enter a market, or perform certain activities within a regulatory framework.

Economic Profit

The surplus remaining after total costs are subtracted from total revenue, considering both explicit and implicit costs.

Marginal Revenue

The additional income earned by a firm from selling one more unit of a good or service.

Marginal Cost

The cost of producing one additional unit of a good or service, often used in decision-making to determine the optimal level of production.