Question

____ is a limited partnership agreement that may specify how profits and losses are to be allocated among the partners. If no agreement exists, RULPA provided that profits and losses from a limited partnership are shared on the basis of the value of each partner's capital contribution.

Answer 1

Answer:

The correct answer is: Share of Profits and Losses.

Explanation:

In a limited partnership, there are two types of partners, general and limited.  

General partners invest capital and manage the business, and personally liable for debts. Limited partners only invest capital and do not manage a business, and are not personally liable for debts.  

Share of Profits and Losses is an agreement that specifies how profits and losses are to be allocated among the partners.  

In case there is no such agreement, RULPA which is a revision of ULPA provides that profits and losses are to be shared on the basis of capital contribution of each partner.