In ordinary partnership, the risks are

Assessment: WAEC SSCE - Economics - 1999 (Objective) Subject: Economics

Question 1 Report

In ordinary partnership, the risks are
Answer Details
In an ordinary partnership, the risks are shared among the partners. This means that all partners are jointly and severally liable for the debts and obligations of the partnership. Each partner is responsible for contributing their share of the partnership's capital, and also for any losses that may be incurred by the partnership. The risks of the partnership are not borne solely by the workers or the creditors, but rather by all partners, including the active partners who manage the partnership. This joint liability is one of the main characteristics of a partnership and is designed to encourage careful management of the partnership's affairs by all partners.

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