Which of the Following Is Not a Necessary Element of the Definition

question 82

Multiple Choice

Which of the following is not a necessary element of the definition of partnership according to the RUPA?

• A)Co-ownership of the business
• B)Association of two or more persons
• C)Limited liability of partners
• D)Carrying on of a business

---

Definitions:

Economic Profit

Profit calculated by subtracting both explicit (direct) and implicit (indirect or opportunity) costs from total revenues.

Economic Profit

The profit a company makes after deducting both explicit (direct payments) and implicit (opportunity) costs.

Normal Profit

Normal profit is the minimum level of profit needed for a company to remain competitive in the market, equivalent to the opportunity cost of capital.