Restaurants, clothing retailers, barbers, and beauticians face relatively low risks of loss
from nonpayment because:
A. most customers prefer making upfront payments for such products and services.
B. few people have credit cards which limits their ability to buy products.
C. they only offer credit to loyal customers who they are sure will repay the amount.
D. most of them provide credit only by accepting credit cards, which reduces the risk of
nonpayment.
Which of the following explains the difference between limited partnership and general
partnership?
A. In limited partnerships, all partners are equally liable to the firm’s debt unlike
general partnerships.
B. In limited partnerships, partners incur single taxation on earnings unlike general