If Harry provides extra funds to a general partnership but does not participate in its daily operations, he is part of what type of partnership?

Harry is part of a limited partnership because a limited partnership consists of at least one general partner who manages the business and one or more limited partners who contribute capital but do not participate in the day-to-day operations. In this structure, the limited partners enjoy liability protection, meaning they are only liable for the debts of the partnership up to the amount they have invested. This aligns with Harry's situation of providing extra funds without being involved in management.

In contrast, a general partnership involves all partners actively participating in the business's management and sharing liability equally. A sole proprietorship refers to a business owned and operated by a single individual, who retains full control and liability. Lastly, a joint venture typically involves two or more parties collaborating on a specific project or business activity, sharing both risks and profits, but it is not a distinct form of partnership like a limited partnership. Therefore, the correct classification of Harry’s involvement is indeed as a limited partner, aligning perfectly with the nature of limited partnerships.