Asked by Araceli ArredondoLona on May 14, 2024
Verified
In a limited partnership, a general partner assumes no liability for partnership debts beyond the amount of capital contributed.
General Partner
In a limited partnership, a partner who assumes responsibility for the management of the partnership and has full liability for all partnership debts.
Limited Partnership
A business structure where at least one partner has unlimited liability and one or more partners have limited liability, limiting their personal risk.
Capital Contributed
The total amount of money and other valuables that shareholders or owners have invested in a company or partnership.
- Know the differential roles and liabilities within various forms of partnerships.
Verified Answer
MP
Malibongwe PhungulaMay 20, 2024
Final Answer :
False
Explanation :
In a limited partnership, a general partner has unlimited liability, meaning they are personally responsible for the partnership's debts beyond just their capital contribution. Limited partners have liability only up to the amount they have invested.
Learning Objectives
- Know the differential roles and liabilities within various forms of partnerships.