p 349 If a limited partner actively participates in day to day management of

P 349 if a limited partner actively participates in

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33.(p. 349)If a limited partner actively participates in day to day management of the business they may forfeit their limited partner status and lose their limited liability for debts and liabilities. AACSB: Reflective Thinking Bloom's: Apply Bloom's: Evaluate Difficulty: Hard Learning Objective: 13-05 Distinguish between personal liability for general partners and limited partners. Topic: Management and Operation of the Partnership 13-29
Chapter 13 - Choice of Business Entity, Sole Proprietorships, and Partnerships 34.(p. 341)An advantage of operating as a sole proprietorship is that personal liability for any business losses is limited to the owner's investment in the business. AACSB: Analytic Bloom's: Understand Difficulty: Medium Learning Objective: 13-01 Articulate the factors that business owners should consider when selecting a business entity. Topic: Sole Proprietorships 35.(p. 346)The Revised Uniform Limited Partnership Act requires that there be a written partnership agreement regarding limited partnerships. AACSB: Analytic Bloom's: Understand Difficulty: Medium Learning Objective: 13-02 List the elements required to form a general partnership and the statutory requirements for forming a limited partnership. Topic: Limited partnerships 36.(p. 341)If a sole proprietorship loses money, the principal may deduct the losses from her own personal tax liability if any. AACSB: Analytic Bloom's: Understand Difficulty: Medium Learning Objective: 13-01 Articulate the factors that business owners should consider when selecting a business entity. Topic: Sole Proprietorships 13-30
Chapter 13 - Choice of Business Entity, Sole Proprietorships, and Partnerships 37.(p. 346)A limited partnership is required to have two or more limited partners. AACSB: Analytic Bloom's: Understand Difficulty: Medium Learning Objective: 13-02 List the elements required to form a general partnership and the statutory requirements for forming a limited partnership. Topic: Limited partnerships

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