All partners have limited liability in_________________?

Correct answer: B. Limited liability partnership

  • A. Unlimited liability partnership
  • B. Limited liability partnership
  • C. Controlled partnership
  • D. Uncontrolled partnership

Explanation

In a limited liability partnership, each partner's personal liability for the firm's debts is generally limited, subject to exceptions such as personal wrongdoing. An unlimited-liability partnership exposes partners to broader personal liability.

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