Multiple choice

Which of the following is an essential feature of partnership?

  1. Registration

  2. Test of mutual agency

  3. Separate legal entity

  4. All of the above

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Mutual agency (the test of mutual agency) is the essential feature of partnership - each partner is both principal and agent of the firm. Registration is not essential (though advisable), and partnership is not a separate legal entity (unlike companies).