One difference between partnerships and sole proprietorships is that partnerships:
A) take less work to form.
B) are managed by an elected board of directors.
C) have the advantage of limited liability.
D) have a greater chance of long-term survival due to the accountability of each partner to the other.

Question

Quizplus · Accepted Answer

Partnerships have a greater chance of long-term survival due to the accountability of each partner to the other. This means that each partner is invested in the success of the business and is motivated to work towards its growth and sustainability. In contrast, sole proprietorships depend solely on the efforts and resources of the owner, making it difficult to sustain the business beyond the lifespan of the owner. While partnerships may require more work to form and maintain, their shared responsibility and accountability can lead to greater success in the long run.

One Difference Between Partnerships and Sole Proprietorships Is That Partnerships