An LLP partner's liability is limited to what?
AHis agreed contribution
BTotal firm assets
CHis personal wealth
DTwice his capital
Answer & Solution
Correct answer: A. His agreed contribution
Liability is limited to each partner's agreed contribution to the LLP.
Keep practising Partnership Accounts
Browse all Partnership Accounts questions for CA Foundation, or explore more Accounting topics.
Related questions
In an LLP, is a partner liable for another partner's unauthorised actions?Which authority registers and controls LLPs in India?What minimum capital is needed to form an LLP?What is the minimum number of members needed to start an LLP?What is the upper limit on partners in an Indian LLP?What does perpetual succession mean for an LLP?Which Act is stated not to apply to Indian LLPs?Which statement about an Indian LLP is correct?