What can a limited partner contribute to a partnership?

Prepare for the Partnership Law Exam. Study with flashcards and multiple choice questions, each question has hints and explanations. Get ready for your exam!

A limited partner can contribute money and/or property to a partnership, which makes this option the most comprehensive and accurate. Limited partners are typically investors who do not participate in the day-to-day management of the business, and their investment is mainly financial. This can include cash contributions or the transfer of tangible assets such as real estate or equipment that can be utilized in the business.

The other options are more restrictive in nature. Limited partners are not permitted to contribute services, which would typically be the domain of general partners responsible for managing the partnership. As such, the option stating that only services can be contributed does not accurately reflect the role of limited partners. Similarly, the option focusing solely on time and effort is incorrect, as limited partners do not actively manage the partnership and thus do not contribute in that manner. Finally, while monetary investments are a valid form of contribution, limiting it only to monetary aspects overlooks the possibility of non-cash contributions like property, making it less comprehensive than the correct answer. Thus, A represents the broader scope of contributions available to a limited partner in a partnership context.

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