Inference of the existence of a general partnership is drawn only if profits are received as ________.

Question

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When profits are received as a share in a partnership, it implies that the individual is a partner in the business and is entitled to a share of the profits. This suggests the existence of a general partnership. Payment of wages, interest owed on a loan or a debt owed to a creditor does not imply the existence of a general partnership.

Inference of the Existence of a General Partnership Is Drawn