Read each question and choose the best answer.

Question

What does a partner in a limited liability partnership have that a limited partner in a limited partnership does not have?
A. business involvement
B. investment in the partnership
C. limited liability
D. share of profits

Answer 1

The best answer is:

A. business involvement

In a limited liability partnership (LLP), partners typically have the right to participate in the management and operation of the business, whereas a limited partner in a limited partnership does not have such involvement and is generally only a passive investor.