Which of the following, if true, weakens the case for Sam and Nina own

QUESTION

Which of the following, if true, weakens the case for Sam and Nina owning the business in a partnership?

A) Sam and Nina have different personalities.
B) Sam and Nina have known each other for many years.
C) Sam and Nina have conflicting ideas about what would make a dry-cleaning business succeed.
D) Nina is experienced in finance but not in equipment repair.
E) Sam is experienced in dry-cleaning but is not skilled as an administrator.

ANSWER

Answer: E
Explanation: E) Partners should be on the same page in terms of their basic expectations of how to establish and grow the business. If Sam and Nina disagree on fundamental elements of the dry-cleaning business, they’d be better off starting their own sole proprietorships. The case for joint ownership between them is not weakened by the other choices, which are compatible with a partnership arrangement.