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CIMA Exam CIMAPRA17-BA4-1 Topic 9 Question 101 Discussion

Actual exam question for CIMA's CIMAPRA17-BA4-1 exam
Question #: 101
Topic #: 9
[All CIMAPRA17-BA4-1 Questions]

Which ONE of the following in INCORRECT in relation to a Limited Liability Partnership (''LLP'')?

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Suggested Answer: A

Contribute your Thoughts:

Ellsworth
1 months ago
Wait, so an LLP is like a company, but with less paperwork? Sign me up, I've got a brilliant business idea involving glitter and puppies!
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Kanisha
4 days ago
C) An LLP must have ''designated members'' which are the LLP equivalent of the board of directors of a private company.
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Margurite
13 days ago
B) Outsiders contract with the LLP and not with the partners, just as outsiders would contract with the company and not the directors or shareholders of the company.
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Aracelis
24 days ago
A) An LLP, like a company limited by shares, is a separate legal entity.
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Walton
2 months ago
Hmm, Answer A seems off. LLPs are definitely separate legal entities, just like companies. That's the whole point of limited liability!
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Artie
1 months ago
B) Outsiders contract with the LLP and not with the partners, just as outsiders would contract with the company and not the directors or shareholders of the company.
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Artie
1 months ago
A) An LLP, like a company limited by shares, is a separate legal entity.
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Marica
2 months ago
Ooh, this is a tricky one. I'd say Answer D is incorrect - an LLP doesn't have to submit an annual return like a company, that's just for the big boys.
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Cristen
2 months ago
But doesn't an LLP also have limited liability like a company?
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Cassandra
2 months ago
I disagree, I believe the incorrect statement is A.
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Sharika
2 months ago
I think Answer C is wrong. LLPs don't have a board of directors like a company, they have designated members instead.
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Dorthy
1 months ago
D) In return for Limited liability, an LLP, like a company, is required to submit an annual return.
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Brianne
1 months ago
C) An LLP must have ''designated members'' which are the LLP equivalent of the board of directors of a private company.
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Roselle
1 months ago
B) Outsiders contract with the LLP and not with the partners, just as outsiders would contract with the company and not the directors or shareholders of the company.
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Gilma
2 months ago
A) An LLP, like a company limited by shares, is a separate legal entity.
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Lashonda
2 months ago
Answer B is incorrect. Outsiders do contract with the LLP, but the partners are still liable for the LLP's debts and obligations.
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Cristen
3 months ago
I think the incorrect statement is D.
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