What is a limited partnership characterized by?

A limited partnership is characterized by the presence of both general and limited partners. In this structure, general partners manage the business and have unlimited liability, meaning they are personally responsible for the debts and obligations of the partnership. On the other hand, limited partners contribute capital and receive income, losses, and tax benefits but do not partake in day-to-day management and have their liability capped at their investment amount. This distinction between the roles and liabilities of partners is what makes a limited partnership unique and allows for a combination of management control and limited financial risk for certain partners.

The other options do not accurately reflect the defining features of a limited partnership. While some partnerships may have one owner operating the business, that concept doesn't specifically define a limited partnership. Furthermore, limited partnerships are not required to be registered as corporations, as they are a distinct type of business entity. Lastly, the characteristic that all partners have unlimited liability applies more to general partnerships, not limited partnerships, where liability is differentiated between general and limited partners.