Identify a true statement about a royalty partnership in a research and development limited partnership. Multiple choice question. A royalty dependent on the sale of the products developed from the technology is paid by the sponsoring company to the limited partnership. The limited partners' interest can be transferred to equity in the new corporation on a tax-free basis. The agreement allows the company to buy out the partnership interest in the joint venture at a specified time. The royalty rates typically range from 60 to 100 percent of gross sales and often decrease at certain established sales levels