Darin is a limited partner in Eco Baits, a pest control service organized as a limited partnership, which cannot pay its debts. Darin is liable for the debts Select one: a. to no extent. b. to the extent of her capital contribution to the firm. c. in proportion to the number of partners in the firm. d. to the full extent.
B) to the extent of her capital contribution to the firm.
Explanation:
The characteristics of a limited partnerships are:
limited partnerships, unlike general partnerships, must be filed with a state government
the partners of a limited partnership have limited personal liability which equals the amount of their participation in the partnership, e.g. Darin is only liable to a maximum amount that equals her participation in the partnership
limited partnerships are controlled by the partners
limited partnerships are taxed like general partnerships
