Which of the following will establish the existence of a partnership?
A)The goodwill portion of the sale of a business is repaid by a share of the profits.
B)An employee receives a profit-sharing bonus.
C)The beneficiary of a deceased partner takes that partner's share of the income from the partnership.
D)The parties intend to share the expenses of the business.
E)A debt is repaid by the creditor taking a share of the profits.

Question

Quizplus · Accepted Answer

The parties intending to share the expenses of the business is an indication of the existence of a partnership. The other options may involve sharing profits or income, but they do not necessarily establish the existence of a partnership.

Which of the Following Will Establish the Existence of a Partnership