Question

Greg's band wants to form a partnership. General partners will include the drummer, two guitarists, one keyboardist, and one singer. Greg's great-uncle, a musician in his own right plans to provide $30,000, but does not plan to participate in the gigs, only in the profits. The band will form a _______________.

Answer 1

Answer: Limited partnership.

Explanation:

Limited Partnership is referred to as a partnership which generally consist of a partner, who tends to manage the business and thus has unlimited or inconsiderate personal liability for obligations and debts of Limited Partnership,also another limited partner, which has a limited liability and thus cannot get involved in management.  This type of partnership is also known as the entity that is considered as a popular choice for accounting, finance and law firms.