QUESTION 2 in the United States, which one of the following statements regarding partnerships and corporations is true? (Assume that the stocks of the corporations are publicly traded.) A. For the business owners, legal liability to outside creditors is limited for partnerships but unlimited for corporations. B. Paid-in capital (i.e. contributed capital) and earned capital (i.e retained earnings) are separately reported for corporate accounting, but combined for partnership accounting. C. Both partnership accounting and corporate accounting are required to follow the generally accepted accounting principles (GAAP). D. For financial reporting, a corporation is a separate economic entity distinct from its owners, but a partnership is not