Which one of the following best describes the primary advantage of being a limited partner rather than a general partner?
A: entitlement to a larger portion of the partnership's income
B: ability to manage the day-to-day affairs of the business
C: no potential financial loss
D: greater management responsibility
E: liability for firm debts limited to the capital invested
A: entitlement to a larger portion of the partnership's income
B: ability to manage the day-to-day affairs of the business
C: no potential financial loss
D: greater management responsibility
E: liability for firm debts limited to the capital invested
举一反三
- business partner whose potential financial loss in the partnership will not exceed his or her investment in that partnership is called a limited partner. （ ）
- A business partner whose potential financial loss in the partnership will not exceed his or her investment in that partnership is called a: A: generally partner B: sole proprietor C: limited partner D: corporate shareholder
- Which one of the following business types is best suited to raising large amounts of capital? A: sole proprietorship B: limited liability company C: corporation D: general partnership
- A business entity operated and taxed like a partnership, but with limited liability for the owners, is called a: A: limited liability company. B: general partnership. C: limited proprietorship. D: sole proprietorship. E: corporation.
- Which one of the following terms is defined as the management of a firm's long-term investments? A: working capital management B: financial allocation C: agency cost analysis D: capital budgeting