Which of the Following Is Correct with Respect to Limited

question 174

Multiple Choice

Which of the following is correct with respect to limited partnerships?

• A)Limited partnership refers to the fact that no more than five people are allowed to be partners in such partnerships.
• B)Limited partnership refers to the fact that the partnership can only issue common shares.
• C)Limited partnership refers to the fact that some partnerships are only created for a limited period of time.
• D)Limited partnership refers to the fact that limited partnerships can only carry on certain kinds of businesses.
• E)Limited partnership refers to the fact that some partners have limited liability.

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Definitions:

Real Output

The total goods and services produced by an economy, measured in constant prices to adjust for inflation, synonymous with real GDP.

Incentives

Something that motivates or encourages an individual or group to perform or act in a certain way.

Savings

The portion of income not spent on current expenditures and set aside for future use.

Investment

The action of dedicating resources such as capital, time, or effort to a particular venture with the expectation of achieving a beneficial return.