Which of the following is true with regard to partnership?

Question

Quizplus · Accepted Answer

A is incorrect because even if a partnership agreement includes provisions on a certain point, those provisions may override or be different from the terms of the Partnership Act. B is correct because in a limited partnership, at least one partner (the "limited partner") is only liable for the partnership's debts up to the amount they contributed to the partnership, while the other partner(s) (the "general partner(s)") have unlimited liability. C is incorrect because a partnership can be formed even if the parties did not intend to create a partnership, as long as certain conditions are met (e.g. they share profits and losses, have joint control and management, etc.). D is incorrect because sharing gross receipts is not sufficient evidence of the existence of a partnership - there must be an intent to form a partnership and evidence of certain characteristics of a partnership (such as joint control and management). E is incorrect because a general partner is an agent of the firm and the other partners, with the authority to bind the partnership in transactions with third parties.

Which of the Following Is True with Regard to Partnership