Members of a Limited Liability Company Share Profits

question 49

Multiple Choice

Members of a limited liability company share profits:

• A) according to their status (general or limited) in the firm.
• B) in proportion to their contribution of services.
• C) in proportion to their capital contribution.
• D) according to the terms of the operating agreement.

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Definitions:

Unilateral Action

An action taken by one party or nation without the agreement or cooperation of others.

Terms Of Employment

The conditions and agreements under which an employee works, including hours, salary, benefits, and duties.

Specific Performance

A legal remedy requiring a party to perform their obligations under a contract, rather than simply paying damages.

Wrongful Dismissal

Termination of employment without legal justification, violating the contract or laws protecting the employee's rights.