5
practice testMultiple Choice

Practice Test

Question 5 • Personal Finance and Economics

Articles of partnership establish

Answer
A
how businesses can raise capital.
B
what business taxes are paid.
C
how profits and losses are divided.
D
what is included in a charter.

Explanation

Articles of partnership are an agreement among partners that sets out how the business will operate. They commonly specify how profits and losses are divided among the partners, so the correct choice is “how profits and losses are divided.”

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