Asked by Becky Tseng on May 05, 2024
Verified
Which one of the following would not be considered a disadvantage of the partnership form of organization?
A) Limited life
B) Unlimited liability
C) Mutual agency
D) Ease of formation
Limited Life
A feature of certain business entities where the business has a defined end date or event upon which it will dissolve.
Unlimited Liability
A legal obligation where a business owner or partner is personally responsible for all of the debts of the business.
Mutual Agency
A business principle where each partner in a partnership can act on behalf of the partnership, binding it contractually.
- Ascertain the benefits and drawbacks inherent in choosing a partnership as a business structure.
Verified Answer
Learning Objectives
- Ascertain the benefits and drawbacks inherent in choosing a partnership as a business structure.
Related questions
Which of the Following Statements Best Describes Partnerships ...
In Which Type of Organization Do All Partners Enjoy Limited ...
When Compared to a Corporation, One of the Major Disadvantages ...
A Disadvantage of Partnerships Is the Mutual Agency of All ...
The Accounting Procedures Are the Same for Sole Proprietorships as ...