A partner (owner) who invests money in a business does not take an active role in managing the operation, and is only subject to losing the funds they invested is known as a(n) partner.
✨ Quizard's Answer
Asked by 5 other people
B
limited
Explanation:
The type of partner described in the question is known as a limited partner. A limited partner is an individual who invests money in a business but does not actively participate in managing the operation. They are only liable for the funds they have invested and are not personally responsible for the debts or obligations of the business beyond their initial investment. Limited partners typically have limited decision-making power and are not involved in day-to-day operations. This type of partnership structure is often seen in businesses where there are multiple partners, with some taking on active management roles (known as general partners) and others providing financial support without active involvement.
Implied partner, partial partner, and general partner are not accurate descriptions of the partner described in the question. An implied partner refers to someone who is not officially recognized as a partner but is treated as one due to their actions or conduct. A partial partner is not a recognized term in partnership structures. A general partner, on the other hand, is actively involved in managing the business and shares in the profits and losses, as well as the liabilities, of the partnership.