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To Contain or Limit Liability Within a Partnership, the Company

Question 45

Multiple Choice

To contain or limit liability within a partnership, the company will __________.


A) ask each partner to contribute more than they need to operate the company and set it aside just in case
B) designate some partners as being more liable than others, in exchange for a greater share of the profits
C) set up an income trust to act as a contingency fund against potential lawsuits
D) buy insurance against liability suits
E) None of the answers apply.

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