A potentially significant disadvantage of a partnership is that ________.
A) it involves double taxation of the income generated
B) income tax is not straightforward and is complex
C) it has more chances for disagreement and conflict
D) it does not present opportunities to share costs
E) the amount of money generated in a partnership is low

Question

Quizplus · Accepted Answer

A)Partners can disagree over business strategy, the division of profits (or the liability for losses), hiring and firing of employees, and other significant matters. This attracts more conflicts in the business.
B)Partners can disagree over business strategy, the division of profits (or the liability for losses), hiring and firing of employees, and other significant matters. This attracts more conflicts in the business.
C)Partners can disagree over business strategy, the division of profits (or the liability for losses), hiring and firing of employees, and other significant matters. This attracts more conflicts in the business.
D)Partners can disagree over business strategy, the division of profits (or the liability for losses), hiring and firing of employees, and other significant matters. This attracts more conflicts in the business.
E)Partners can disagree over business strategy, the division of profits (or the liability for losses), hiring and firing of employees, and other significant matters. This attracts more conflicts in the business.

A Potentially Significant Disadvantage of a Partnership Is That ________