Rowdy Roddy Piper and the Macho Man Randy Savage open an antique shop without filing any paperwork with the state. Macho Man Randy Savage’s liability…

5.Rowdy Roddy Piper and the Macho Man Randy Savage open an antique shop without filing any paperwork with the state. Macho Man Randy Savage’s liability is:

A. limited by state statute and varies from state to state

B. limited to the amount of his investment in the business

C. unlimited with respect to all partnership debts

D. unlimited with respect to debts arising from his own decisions

6.In Wisconsin, a limited partnership will be created when:

A. a partnership agreement is executed

B. a certificate of limited partnership is filed

C. the business formally opens its doors

D. the partners make their capital contributions

8.Tootie is a partner in Facts of Life, a general partnership. A Facts of Life debt comes due. Tootie is:

A. not liable for the debt

B. only liable up to the amount of her capital contribution

C. personally liable for a portion of the debt equal to her percentage of ownership

D. liable for the full amount of the debt

9.Diff’rent Strokes LLC is a limited liability company created by Willis. Unless indicated otherwise on Willis’ tax form, the firm will likely be treated for tax purposes the same as:

A. a partnership

B. a close corporation

C. a corporation

D. a cooperative

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