In conformity with state law,five accountants formed a limited liability partnership.The partnership is dissolved at a time when partnership debts exceed assets.Which of the following is true?

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In a limited liability partnership, the limited partners are not personally liable for the debts of the partnership beyond their capital contributions. This is one of the main advantages of forming such a partnership as compared to a general partnership or a sole proprietorship. Therefore, option C is the correct choice. Option A is incorrect because the dissolution of the partnership would lead to the winding up of its affairs, and the payment of its debts to the extent possible. Option B is incorrect because there is no concept of a general partner in a limited liability partnership. Option D is incorrect because the limitation of liability for limited partners is not dependent on the specific agreement of creditors. Option E is incorrect for the same reason as option B.

In Conformity with State Law,five Accountants Formed a Limited Liability