Todd and Cathy Created a Firm That Is a Separate

question 25

Multiple Choice

Todd and Cathy created a firm that is a separate legal entity and will share ownership of that firm on a 50-50 basis.Which type of entity did they create if they have no personal liability for the firm's debts?

• A)Limited partnership
• B)Corporation
• C)Sole proprietorship
• D)General partnership
• E)Public company

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Definitions:

Mutual Attraction

A reciprocal sense of physical or emotional appeal experienced between two or more individuals.

Social Exchange Theory

A theory suggesting that human relationships are formed based on a subjective cost-benefit analysis and the comparison of alternatives.

Intrinsic

Being naturally part of something; inherent or essential.

Interfaith Marriages

Marriages between partners of different religious backgrounds or beliefs.