Dom.Mod. Mid. Exam Accounting 2 - Partnership

What is the minimum number of persons required to form a partnership?

• Two

• Four

• Three

• One

What is a key characteristic of a partnership?

• Mutual Contribution

• Unlimited life

• Sole ownership

• Limited liability

Which of the following is NOT a type of partner?

• Limited partner

• General partner

• Silent partner

• Active partner

What type of partnership is formed for the exercise of a profession?

• Limited partnership

• General professional partnership

• Commercial partnership

• General partnership

What is the liability of a general partner in a partnership?

• None

• Limited to their investment

• Unlimited

• Only for business debts

What document is used to formally establish a partnership?

• Partnership Agreement

• Articles of Incorporation

• Business License

• Articles of Partnership

Which of the following is a characteristic of a corporation but NOT a partnership?

• Co-ownership of assets

• Mutual agency

• Limited liability

• Unlimited life

What is the tax rate for partnerships, except general professional partnerships?

• 30%

• 35%

• 25%

• 20%

What is a de facto partnership?

• A partnership formed for a specific purpose

• A partnership that has not complied with legal requirements

• A legally established partnership

• A partnership with limited partners

What is the role of a managing partner?

• To manage the partnership's operations

• To wind up the partnership's affairs

• To contribute capital only

• To act as a silent partner