Question

Mr. Michael Bloomberg, the former Mayor of New York City, is the billionaire founder of the company which is providing financial information through various media. Bloomberg Company is choosing the form of _____ for their organizations.

Answer 1

Incomplete question. The options read;

a. limited partnership

b. S corporation

c. C corporation

d. sole proprietorship

Answer:

a. limited partnership

Explanation:

Note, limited partnership in itself involves a partnership (business agreement) between two parties;

• the general partner, and
• the limited partner.

In this form of organization, the general partner(s) is mainly in charge of running the business. The limited partner(s) on the other hand do not actively engage in managing the business.

A contrast between them exists in that,

• the general partner(s) has unlimited liability for any debt (or loss) to the business, while
• the limited partner(s) have limited liability.