Which of the following is NOT true regarding limited partnerships?
A) General partners of a limited partnership remain jointly and severally liable for partnership obligations.
B) Limited partners assume no liability for partnership debts beyond the amount of capital they contributed.
C) Limited partners are responsible for the management of the partnership.
D) Limited partnerships are often used to raise capital.

Question

Quizplus · Accepted Answer

Limited partners are not responsible for the management of the partnership, as this is left to the general partner(s) who have unlimited liability. Limited partners are typically passive investors and do not participate in the day-to-day management of the business.

Which of the Following Is NOT True Regarding Limited Partnerships