Partnership - SS1 Commerce Past Questions and Answers - page 1
In a general partnership, who shares equal responsibility and liability for the business?
General partners
Limited partners
Silent partners
What is the main difference between a general partnership and a limited partnership?
Limited liability of partners
Involvement in day-to-day management
Equal distribution of profits
How is a partnership formed?
By registering with government authorities
By signing a partnership agreement
By obtaining a business license
What is the purpose of a partnership agreement?
To determine the partnership's business name
To outline the roles and responsibilities of partners
To secure funding for the partnership
What type of partnership involves limited liability for some partners?
General partnership
Silent partnership
Limited partnership
Define partnership in simple terms.
Partnership is a business structure where two or more individuals come together to jointly own and operate a business.
What is the purpose of a partnership agreement?
The purpose of a partnership agreement is to define the rights, responsibilities, and obligations of each partner in a partnership.