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mixer [17]
3 years ago
9

Limited partnership programs are categorized as direct participation programs. The term direct participation refers to A) the ab

ility of any partner, limited or general, to participate in the running of the partnership. B) the ability, through the partnership democracy, for each partner to have her vote flow through to the general partner. C) the general partners directly participating in the day-to-day management of the partnership. D) the flow-through of profits and losses of the partnership to the individual limited partners.
Business
1 answer:
Ugo [173]3 years ago
3 0

Answer:

D) the flow-through of profits and losses of the partnership to the individual limited partners.

Explanation:

A limited liability company can be defined as a private company in which the owners are legally responsible for the company's debts but only to the amount of capital he or she has invested. The LLC can be referred to as a hybrid business entity that combines the limited liability-shield of a corporation with the pass-through taxation of a sole-proprietorship or partnership business.

In the United States of America, the owner of a LLC is not legally liable for the company's liability or debts.

Limited partnership programs are categorized as direct participation programs. The term direct participation refers to the flow-through of profits and losses of the partnership to the individual limited partners. Also, it prevents double taxation because only the owners or investors are taxed on revenues but not the entity.

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