Partnership It is that form of organization which is owned and managed by two or more persons who invest and share the profits and losses according to a pre-determined ratio. Limited Liability Company It is that form of organization which is formed as a legal entity that provides limited liability to the owners. It has a common seal. To explain: The main disadvantages of a partnership over the limited liability company:

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Chapter 12, Problem 2DQ

To determine

Partnership

It is that form of organization which is owned and managed by two or more persons who invest and share the profits and losses according to a pre-determined ratio.

Limited Liability Company

It is that form of organization which is formed as a legal entity that provides limited liability to the owners. It has a common seal.

To explain: The main disadvantages of a partnership over the limited liability company:

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