Partners of a Partnership

question 63

Multiple Choice

Partners of a partnership:

• A)are not liable for all of the partnership's obligations.
• B)are entitled to income of the partnership,which must be reported on their individual federal income tax returns.
• C)are not permitted to deduct partnership losses on their individual federal income tax returns.
• D)can create a partnership only by complying with a statute.

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Definitions:

Recreational

Activities or pursuits engaged in for enjoyment, relaxation, or leisure, not taken as a serious or full-time occupation.

Medical

Pertaining to the science or practice of medicine, which involves the diagnosis, treatment, and prevention of disease.