Question

Which of the following rights may a member of a limited liability company (LLC) transfer to a non-member?

voting on matters of business management

inspecting the records of the LLC

sharing the company’s financial profits

participating in management

Answer 1

Members of a limited liability company (LLC) may transfer the right to voting on matters of business management to non-members, but inspecting records, sharing financial profits, and participating in management are usually only reserved for members.

Step-by-step explanation:

Members of a limited liability company (LLC) may transfer the right to voting on matters of business management to non-members. This means that non-members can participate in the decision-making process for the company.

However, inspecting the records of the LLC, sharing the company’s financial profits, and participating in management are usually rights reserved for members only. These activities typically require a direct financial stake or investment in the company.

Answer 2

A member of an LLC can generally transfer the right to share the company's financial profits to a non-member, but voting and management participation rights are usually reserved for members.

Step-by-step explanation:

A member of a limited liability company (LLC) may transfer certain rights to a non-member. While typically voting on matters of business management and participating in management are rights reserved for members and may not be transferable without specific provisions, members are generally able to transfer their financial rights. This particularly includes sharing the company’s financial profits, which may be transferred to a non-member. The right to inspect the records of the LLC could depend on the LLC's operating agreement and state law, and in some cases, may be transferable as well.