Tyran Lobell and Scotti Wand are equal general partners in The Gift Shop. Tyran contributed 80% ($80,000) of the required funds to start the partnership and Scotti contributed 20% ($20,000). Scotti carries out 75% of the day to day operations of the business. Which of the following is accurate with respect to the partners' liability exposure?

Multiple Choice

• The partners have equal and unlimited liability in the business.

• Any claims against the business will be limited to $100,000.

• Scotti is liable for 75% of any claims made.

• Tyran is liable for 80% of any claims made.

Subject: Canadian Income Taxation