Asked by Femina Asmani on May 18, 2024
Verified
Bhat and Cho do business as Data Security, a partnership. In most states, for the purposes of collecting judgments and having accounting performed, this firm would be treated as
A) a combination of individuals.
B) a proprietorship.
C) an independent entity.
D) an aggregate.
Independent Entity
An organization or body that operates independently from other organizations or governments, with its own set of rules and governance.
Data Security
Measures and practices implemented to protect digital data from unauthorized access, corruption, or theft.
Collecting Judgments
The process of obtaining the money awarded by a court decision from the debtor.
- Understand the identification of partnerships as distinct entities.
Verified Answer
LS
Liang SheenaMay 24, 2024
Final Answer :
C
Explanation :
In most states, partnerships like Data Security are treated as independent entities for the purposes of collecting judgments and having accounting performed. This allows the partnership to be recognized as a separate legal entity from its individual partners, facilitating legal and financial actions directly against the partnership itself.
Learning Objectives
- Understand the identification of partnerships as distinct entities.