Which of the Following Is True Regarding the Duty of Care,if

question 23

Multiple Choice

Which of the following is true regarding the duty of care,if any,that one partner owes to another?

• A) The duty of care is not involved in the law of partnership.
• B) The duty of care is owed by each partner to the partnership itself, but partners do not owe a duty of care among themselves.
• C) Partners owe a duty of care among themselves, but only in regard to transactions involving over $5,000.
• D) While partners owe a duty of care to each other, a partner who makes an honest mistake in fulfilling responsibilities to the partnership will not be held liable for the mistake.
• E) Partners owe a duty of care to each other, and a partner is liable to other partners on a strict liability basis for any mistakes or errors made.

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Definitions:

Net Capital Outflow

Refers to the difference between the purchase of foreign assets by domestic residents and the purchase of domestic assets by foreigners. A positive net capital outflow means a country is investing more abroad than others are investing in it.

Open-Economy Macroeconomic Model

A framework for analyzing economies that engage in international trade, highlighting how these economies interact with the rest of the world economically.

Import Quotas

Restrictions set by a government on the quantity or value of certain goods that can be imported into a country, often to protect domestic industries.

Exchange Rate

The price at which one currency can be exchanged for another in the foreign exchange market.