Homer and Marge have decided to open a floral design shop,which they intend to run as co-owners.Both intend to take an active role in the management of their new business,and each will accept unlimited liability.Homer and Marge are planning to operate a:
A)joint venture.
B)general partnership.
C)limited partnership.
D)co-operative.

Question

Quizplus · Accepted Answer

Homer and Marge are forming a general partnership because they both intend to actively manage the business and accept unlimited liability. A joint venture is a specific type of partnership that is formed for a limited purpose or project. A limited partnership would require at least one partner with limited liability, and a cooperative is a form of business owned and operated by a group of individuals to meet their collective needs.

Homer and Marge Have Decided to Open a Floral Design