Question 44
Business UnitsA person who contributes money to a partnership business and is also involved in its general supervision is called
- A.an active partner.
- B.a limited partner.
- C.a dormant partner.
- D.a nominal partner.
Show the answer and explanation
Answer: A (an active partner.)
Explanation
A partner who contributes capital and takes part in running the firm is an active partner; a dormant partner takes no part in management.