Ask Question
1 May, 16:56

Which of the following is a disadvantage of a partnership when compared to a corporation? a. The partnership is more likely to have a net loss. b. The partnership is easier to organize. c. The partnership is less expensive to organize. d. The partnership has unlimited liability.

+2
Answers (1)
  1. 1 May, 19:11
    0
    d. The partnership has unlimited liability.

    Explanation:

    In a partnership, there is an agreement between two or more persons who come together to contribute their assets. In this, the profits and losses are shared between the partners in their profit-losses ratio.

    Whereas a corporation is a group of people who represents as a single entity

    The partnership is easier to organize plus it is less expensive too, and we cannot say that the firm is earning profit or suffering any losses but the liability of the partners are limited
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Which of the following is a disadvantage of a partnership when compared to a corporation? a. The partnership is more likely to have a net ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers