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Fred and Ginger are the limited partners of a limited partnership called Premium Developers, Ltd. Each invests $20,000 in the limited partnership. Premium Developers, Ltd.
Fred and Ginger are the limited partners of a limited partnership called Premium Developers, Ltd. Each invests $20,000 in the limited partnership. Premium Developers, Ltd. borrows $1 million from American Bank. After two years, the limited partnership has spent all of its capital, has no assets, and goes bankrupt, still owing American Bank $1 million of unpaid debt. Because Fred and Ginger have limited liability ________
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