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Which of the given statements is true?

a) Corporations are at a drawback relative to partnerships as they have to file more reports to state and federal agencies, comprising the Securities and Exchange Administration, even if they are not publicly owned.

b) In a regular partnership, liability for firm's debts is limited to the amount a particular partner has invested in business.

c) A fast-growth company would be more probable to set up as a partnership for its business organization than would a slow-growth company.

d) Partnerships encompass difficulty attracting capital in part since of their unlimited liability, the lack of impermanence of the organization, and complexity in transferring ownership.

e) The main drawback of a partnership relative to a corporation as a form of business organization is the high cost and practical complexity of its formation.

Business Law & Ethics, Finance

  • Category:- Business Law & Ethics
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