Everything else equal, including firm size, dollar sales, type of product sold, and so forth, the primary difference between proprietorship and partnership business forms is that _____.
A. a partnership has more owners than a proprietorship
B. the combined personal liability associated with a partnership is significantly less than the combined personal liability associated with a proprietorship
C. a partnership is generally easier to form than a proprietorship
D. the annual growth rate of a proprietorship is limited by law, whereas the growth rate of a partnership is always potentially unlimited
E. many more businesses are formed as partnerships than proprietorships
Answer: A
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