 In this presentation, we will take a look at multiple choice questions related to partnerships. First question, a partnership designed to protect innocent partners from negligence claims created from actions of a Nether partner is A. A partnership B. Limited partnership C. S. Corporation D. Limited liability partnership and E. Unlimited liability company. So we'll go through this again, see if we can eliminate some options with the process of elimination. Question, a partnership designed to protect innocent partners from negligence claims created from actions of a Nether partner is A. A partnership. The partnership is going to be the general liability and it's probably not going to be the one designed to protect it more. We're going to talk about one of these kind of hybrid type of options to protect partners. So it's not going to be the normal partnership. A limited partnership. We might think that as an option, but that could protect typically an individual partner if we had a limited partnership where one individual was a capital investment typically. But the general partners wouldn't have that same type of protection possibly. So I'll keep that for now. C says an S corporation and that's not a partnership. It's similar in that it's a flow through entity, but not a partnership. So I'm going to say that's not the one and D says limited liability partnership. And that sounds pretty good because that's going to be another one of those hybrids. So it looks like it's between B and D at the moment. And then E says unlimited liability company, which is kind of a funny term because like you don't want an unlimited liability company. You want a limited liability company. So it would be kind of counter productive to make an unlimited liability company. So that seems not correct. So we're going to go between B and D question one more time or once again. A partnership designed to protect innocent partners from negligence claims created from actions of another partner is either B or D either limited partnership or limited liability partnership. And of those two, I think that D is going to be the more proper term because it's going to give more protection to all the partners from negligence of other partners. Whereas a limited partnership will only do so for the limited partner, the one that doesn't participate in the partnership and therefore should not have or the justification for limited partners. They don't have a liability because they're not really in the decision making process. They're really more of an investor. Next question. A partnership where partners have unlimited liability is called a limited partnership, b limited liability partnership, c general partnership, d C corporation, e limited liability company. So let's go through this again, see if we can go through the process of elimination. A partnership where partners have unlimited liability is called a a limited partner. A limited partnership is going to have not unlimited for at least an individual. So unlimited liability of course is bad. Typically that means that your your personal resources are are subject to possible a lawsuit or something like that happening. So a limited partnership is going to limit that in some ways, at least for some partners, the ones that are not involved directly in the partnership. So it's probably not limited partnership. The B says limited liability partnership. And again, that's like the hybrid between a partnership and a corporation. And that's the point of a limited liability partnership is to have more liability protection. That's why you do it. So that wouldn't be unlimited either. C says general partnership. Probably the answer because a normal partnership is a general partnership. And that's the one where you got the liability issue. So that probably is the one. D says a corporation and there's no unlimited liability in a corporation. That's the point of incorporating and it's not a partnership. So that doesn't sound right. And then E says limited liability company. And once again, that's a hybrid very similar to be up here that's trying to have the best of both worlds, the point being to limit liability and not have unlimited liability. So that's not going to be it. We'll be left with C then, question and answer. A partnership where partners have unlimited liability is called C general partnership.