Type of partnerships, Finance Basics

Assignment Help:

Type of Partnerships

There are two main kinds of partnerships. Namely:

Ordinary Partnership - An ordinary partnership is one in which all members have unlimited liability. That is, they are all answerable to all the debts of the firm up to the extent of sale of their personal property.

Limited Partnerships - A limited partnership is one in which the liability of members is restricted to the amount of capital they have invested in the business. In such a partnership, however there must be at least one partner whose liability is unlimited. Limited partners do not participate in the management of the firm. A limited partnership must also register with the registrar of companies. In that case a partnership deed or article of partnership must be drawn up. 

 

 


Related Discussions:- Type of partnerships

Market model - methods of computing cost of capital, Market Model - Methods...

Market Model - Methods of Computing Cost of Capital This model is utilized to establish the percentage cost of ordinary share capital cost of equity (K e ). If an investor is

What is meant by underwriting, Question 1: (a) What is meant by underwr...

Question 1: (a) What is meant by underwriting? (b) How can underwriting be used to manage the risks of a life insurance company? (c) Give and describe the three types of

How capital budgeting decisions affect a company’s value, Give an example o...

Give an example of how capital budgeting decisions affect a company's value, strategy or operations. Companies always tend to look for capex projects which will add value to

Work, A bond that has $1000 face value and a contract interest rate of 11.4...

A bond that has $1000 face value and a contract interest rate of 11.4%. The bonds have a current value of $1124 and will mature in 10 years. The firms marginal tax rate is 34%. The

Social responsibility - objectives of business entity, Social responsibilit...

Social responsibility - Objectives of Business Entity The firm must decide where to operate strictly in their shareholders' best interests or be responsible to their staff, th

Calculate the one period european call option, Question: a) A bank len...

Question: a) A bank lends you $1750 at an initial nominal yearly interest rate of 7.5% compounded semi-annually. However, the interest rate will rise to 9.2% after the first

Risk adjusted discounting rate – methods of computing cost, Risk Adjusted D...

Risk Adjusted Discounting Rate - Methods of Computing Cost of Capital This method is used to establish the discounting rate to be used for a provided project. The cost of capi

Example of eoq assumptions, Example of EOQ Assumptions ABC Ltd require...

Example of EOQ Assumptions ABC Ltd requires 2,000 units of a component in its manufacturing method in the coming year that costs of Sh.50 each. The items are obtainable locall

Draw the total expenses vs. time curve, For the set of activities shown in ...

For the set of activities shown in the table below, draw the total expenses vs. time curve using the following data: The labor rates are as follows: Labor # 1 (L1) rate = 30

Tracking order, when will I receive my order and how will I receive it?

when will I receive my order and how will I receive it?

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd