Abby starts up Bowls Bistro to serve and sell soups for workday lunches. Abby leases space in an office building owned by Carmen. The lease requires Abby to pay Carmen a base rental of $1,250, plus 10 percent of Bowls Bistro's profits, each month. The term is two years.
Abby hires Devin to take and fill customers' orders at an hourly wage of $15.00, plus tips. Abby and Carmen are:
A) not partners, because Carmen does not have an ownership interest or management rights in Bowls Bistro.
B) not partners, because the lease includes a "base rental."
C) not partners, because the rent includes only 10 percent of the profits.
D) partners in a partnership for two years.
Answers: 1
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