- CFA Exams
- CFA Level I Exam
- Topic 3. Corporate Issuers
- Learning Module 1. Organizational Forms, Corporate Issuer Features, and Ownership
- Subject 1. Organizational Forms of Businesses
CFA Practice Question
A private equity fund most likely takes the business form of:
B. limited partnership
C. general partnership
A. sole proprietorship
B. limited partnership
C. general partnership
Correct Answer: B
Because of its limited liability feature, a limited partnership is often the vehicle of choice for private equity funds or raising money for certain kinds of business ventures.
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