A Partnership's Liability for the Torts of a Partner Committed

question 84

Multiple Choice

A partnership's liability for the torts of a partner committed within the ordinary course of partnership business or within the authority of that partner is:

• A)joint and several.
• B)joint or several,at the option of the tort creditor.
• C)joint only.
• D)several only.

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Definitions:

Preparing

The act of making something ready for use or consideration, often in the context of assembling financial statements or reports.

IFRS

International Financial Reporting Standards, a set of accounting standards developed by the International Accounting Standards Board (IASB) that aims to make international financial reporting more uniform.

SMEs

Small and medium-sized enterprises, which are businesses with a limited number of employees and revenue falling below certain thresholds according to local country standards.

Recognizing

The process of formally recording or acknowledging an item in the financial statements.