Question

Under which one of the following business organizations do the owners have unlimited liability for all debts of the firm?

(A) partnership
(B) limited partnership
(C) corporation
(D) subchapter S corporation

Answer 1

(A) partnership

Step-by-step explanation:

In a partnership every partner has unlimited liability for all of the debts. There is a ver important difference with sole propietor's, any member of the partnership is responsible for debts of the business, even if the person had no responsability with the creation of the debts.