Which of the Following Statements Is Correct

question 1

Multiple Choice

Which of the following statements is correct?

• A) In a partnership,liability for other partners' misdeeds includes but is limited to the amount a particular partner has invested in the business.
• B) Partnerships must be formed according to specific rules which include the filing of a formal written agreement with state authorities where the partnership does business.
• C) A fast growth company would be more likely to set up a partnership for its business organization than would a slow-growth company.
• D) Partnerships have difficulties attracting capital in part because of the other disadvantages of the partnership form of business,including impermanence of the organization.
• E) A major disadvantage of a partnership as a form of business organization is the high cost and practical difficulties of its formation.

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Definitions:

Tukey's Multiple Comparison

A statistical method used to find which means among a set of means differ from the rest after conducting an ANOVA test.

Fisher's LSD

A statistical method used to compare means while controlling for familywise error rate in the context of an ANOVA.

Pooled Variance Estimator

An estimate of variance that combines the variances from two or more samples, assuming that they come from populations with the same variance.

MSE from ANOVA

Mean Square Error derived from Analysis of Variance, indicating the average of the squares of the deviations of observations from their group means.