Question

When ben joined his uncle’s oil exploration company in southern oklahoma, he was given several hundred shares of stock in the firm, and was officially made a partner. the firm’s accountant explained that the company paid taxes the same way as regular partnerships, by passing the profits through to each partner. ben could purchase more shares of the company on a public stock exchange, as long as someone was willing to sell his/her shares. this firm was likely a special form of ownership called ___________________.?

Answer 1

Ben joined his uncle's oil exploration company and was given shares of the stock and was then made a partner. This was a special form of ownership called a master limited partnership. This type of ownership is also known as a publicly traded partnership. It takes the tax benefits of a limited partnership with liquidity.