Which of the Following Is a Characteristic of a Limited

question 2

Multiple Choice

Which of the following is a characteristic of a limited partnership?

• A) It allows one or more partners to have limited liability.
• B) It requires one or more of the partners to be a general partner to whom the privilege of limited liability does not apply.
• C) It prohibits the limited partners from participating in the management of the partnership.
• D) All of the above.

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Definitions:

Indirect Labor

Costs associated with employees who assist in the production process but do not directly work on products, such as supervisors and maintenance staff.

Direct Materials Used

The raw materials directly used in the production of goods, traceable to the end product.

Direct Labor

Labor provided by employees who are directly involved in the production of goods or the delivery of services, forming an essential part of the production process.

Manufacturing Overhead

All indirect costs associated with the production of goods, such as utilities, maintenance, and salaries not directly tied to specific units.