Two of Diana's friends have approached her about starting a new business. Diana is willing to invest money in the business and share in its profits, but she has no desire to be involved in the day-to-day management of the company, nor is she willing to risk any amount beyond her initial investment. Diana's preferences suggest that she prefers a general partnership form of business ownership.

Question

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Diana's preferences suggest that she prefers a limited partnership form of business ownership, where she can be a limited partner and not be involved in the day-to-day management of the company or risk any amount beyond her initial investment.

Two of Diana's Friends Have Approached Her About Starting a New