Which of the following is true of a partnership?
A) Actions of one partner are not binding on all the other partners.
B) Each partner is individually liable for partnership debts.
C) All of the owners always share income and losses equally.
D) Both A and B are correct.

Question

Quizplus · Accepted Answer

Each partner in a partnership is individually liable for the debts of the partnership. This means that if the partnership cannot pay its debts, creditors can seek repayment from any or all of the partners' personal assets.

Which of the Following Is True of a Partnership