Final answer:
To determine if a general partnership exists, consider the shared intention to run a business, profit and loss sharing, joint management, and possibly a written partnership agreement.
Step-by-step explanation:
A general partnership is formed when two or more individuals agree to own and manage a business together. To determine if such a partnership exists, one must consider if the individuals involved have a shared intention to conduct business as partners, if they share profits and losses, and if each person is involved in managing the enterprise. Additionally, the existence of a partnership agreement, though not mandatory, can serve as evidence of the partnership's formation and terms. Some positive aspects of a general partnership include ease of formation and management, shared decision-making, and the ability to attract investors without special taxes. Conversely, the disadvantages include shared liability for debts and the risk of losing personal assets if the business becomes insolvent or faces legal action.