Indicate whether each statement that follows is a reflection of (a) Normal partnership (b) Limited partnership, (c)

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Indicate whether each statement that follows is a reflection of
(a) Normal partnership
(b) Limited partnership,
(c) Joint venture,
(d) S corporation.
1.
A special type of partnership that, like corporations, confines the limited partner’s potential loss to the amount of his or her investment.
2. A form of organization that has the disadvantage of unlimited liability.
3. An association formed by two or more entities for the purpose of achieving a specific goal.
4. A form of organization that makes it difficult to raise large amounts of capital.
5. A form of corporation that is treated as a partnership and pays no federal income taxes.

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...
Partnership
A legal form of business operation between two or more individuals who share management and profits. A Written agreement between two or more individuals who join as partners to form and carry on a for-profit business. Among other things, it states...
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Principles of Accounting

ISBN: 978-1133626985

12th edition

Authors: Belverd E. Needles, Marian Powers and Susan V. Crosson

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