A good reason why partners should spell out the details of their partnership arrangements in writing is because ________.
A)the partnership is not a legally recognized business until the arrangement is in writing
B)a written agreement will help reduce misunderstandings and disagreements among the partners
C)putting the agreement in writing will limit the liability of each partner to a specified level
D)doing so will make it easier to convert the business to a corporation at a later date

Question

Quizplus · Accepted Answer

A written agreement will help reduce misunderstandings and disagreements among the partners, making it clear what the roles and responsibilities of each partner are and what the expectations for the partnership are. This can prevent future disputes and protect the interests of all partners involved.

A Good Reason Why Partners Should Spell Out the Details