A Firm Has Two Partners: Jim and Bill

question 77

Multiple Choice

A firm has two partners: Jim and Bill.Jim owns 60% of the partnership and Bill owns 40%.In which of the following transactions will the partnership be held responsible for an individual partners' actions?

• A) Jim signs a contract as a guarantor for Bill's personal loan.
• B) Jim buys a laptop on credit for personal use.
• C) Bill signs a contract to buy furniture for official use in the partnership.
• D) Bill defaults on payment of his personal credit card bill.

---

Definitions:

Espoused Values

Espoused values are the explicitly stated values and norms preferred by an organization, which are often communicated through its mission and vision statements.

Global Organization

An entity that operates in multiple countries, often with a centralized headquarter but with operational facilities spread worldwide.

National Cultures

The set of shared values, beliefs, and norms that distinguish the people of one country from those of another.

High Power Distance

A cultural dimension where there is acceptance of unequal power distribution within societies or organizations.