Finra Exam Series-7 Topic 4 Question 106 Discussion

Actual exam question for Finra's Series-7 exam

Question #: 106
Topic #: 4

[All Series-7 Questions]

Which of the following activities by a limited partner may subject the partner to unlimited liability?

Aparticipating in management of the partnership

Bcommitting the partnership in any manner

Cmaking loans beyond those specified in the partnership agreement

Dall of the above

Show Suggested Answer

Suggested Answer: B

deductions from gross income to offset lower value of equipment. Depreciation is the deduction of costs for capital assets as their value declines.

by Dorothea at Jan 22, 2025, 04:11 PM

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14 days ago

But if a limited partner participates in management, they could be seen as a general partner and be subject to unlimited liability.

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15 days ago

I disagree, I believe the answer is A) participating in management of the partnership.

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16 days ago

I think the answer is D) all of the above.

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17 days ago

Definitely D, I can't imagine any of those activities being safe for a limited partner. Gotta play it safe, you know?

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18 days ago

Hmm, I bet the answer is D. I don't want to end up with unlimited liability, that would be a nightmare!

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