Rick and Sandy are limited partners in Total Profit Enterprises, a limited partnership. To avoid personal liability for partnership obligations, they must not

A. acquire an interest in the firm.
B. contribute property to the firm.
C. engage in activities independent of the firm's business.
D. participate in the firm's management.


Answer: D

Business

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Sun Corporation reports the following information: Net cash provided by operating activities $255,000 Average current liabilities 150,000 Average long-term liabilities 100,000 Dividends paid 60,000 Capital expenditures 110,000 Payments of debt 35,000 Sun's free cash flow is

a. $195,000 b. $145,000 c. $50,000 d. $85,000

Business

Proposals that respond to RFPs are always noncompetitive

Indicate whether the statement is true or false.

Business

Generally, a plan for presentingresearch results may be excluded from a proposal because everyone assumes results will be presented in a written report

Indicate whether the statement is true or false

Business

To expand sales, Sandine Corporation is evaluating whether to purchase a machine to manufacture a new product line. Which of the following statements is correct concerning an expansion analysis like the one Sandine faces?

A. The machine's annual depreciation expenses will be deducted from the firm's net income to calculate its supplemental operating cash flows. B. The new machine will be acceptable as long as the sum of its net cash flows is positive. C. The shipping and installation costs associated with purchasing the new machine are included in the computation of its initial investment outlay. D. The cost of a feasibility study that Sandine conducted last year to determine whether to further evaluate the introduction of the new product line should be included in the calculation of the new machine's initial investment outlay. E. The salvage value of the new machine should be included in the computation of its initial investment outlay.

Business