Suppose you form a legal partnership with your best friend,and she purchases consulting services calling for a $100,000 fee.Your business is broke,and you never wanted the consultants to work for you-only your partner did.For how much of this debt are you legally liable?

A) $25,000
B) All of the $100,000
C) The proportion reflected by the proportion of the business owned
D) Only an amount equal to the assets of the business
E) $50,000

Legal Partnership

A formal arrangement by two or more parties to manage and operate a business and share its profits, which can have various forms such as general, limited, and limited liability partnerships.

Consulting Services

Professional services provided by experts to help organizations improve their performance, solve issues, create value, and grow.

Legally Liable

Being legally liable means being responsible by law to compensate or bear the consequences for causing damage or injury through actions or failures to act.