Price and Quint Are Starting a Small Machine Shop-Riverside Boat

question 39

Multiple Choice

Price and Quint are starting a small machine shop-Riverside Boat Repair-and are considering whether to organize the business as a lim?ited liability partnership.This form

• A)does not limit its owners' personal liability for business debts.
• B)limits its owners' personal liability for business obligations.
• C)obviates the need to obtain insurance for business liability risks.
• D)requires three partners to accept liability for potential risks.

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Definitions:

Aggressors

Individuals or entities that initiate hostilities or actions perceived as hostile against others.

Consolidation

The process of combining two or more entities into a single entity, often for the purpose of reducing costs and increasing efficiency.

Surviving Corporation

refers to the company that remains in existence after a merger or acquisition, absorbing the merged or acquired company.

Shareholders

Individuals or entities that own one or more shares of stock in a corporation, making them partial owners of that company.