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What is a General Partnership?
10. What is a General Partnership?
- Form of business partnership where there is no fixed term agreed for the duration of the partnership.
- Partnership in which some or all partners can exhibit elements of partnerships and corporations.
- Form of partnership under common law.
- A partnership was formed for a single transaction.
Answer: C) Form of partnership under common law
Explanation:
A general partnership is a business course of action by which at least two people consent to partake in all resources, benefits, and monetary and legitimate liabilities of a mutually possessed business. In an overall association, accomplices consent to limitless obligation, which means liabilities are not covered and can be paid through the capture of a proprietor's resources. Besides, any accomplice might be sued for the business' obligations.