1. A limited partner:
has no personal responsibility for the debts incurred by the partnership.
is guaranteed a return of his or her entire investment in the partnership if the partnership terminates.
can manage the partnership's operations on a daily basis.
has no control over the daily operations of the partnership.
2. Which of the following statements are not correct?
Interest expense paid for short-term debt is tax deductible.
Interest expense paid for corporate bonds is tax deductible.
Common dividends paid are tax deductible.
Preferred dividends paid are not tax deductible.