AQUINAS UNIVERSITY OF LEGAZPILAW ON PARTNERSHIP AND CORPORATION

PRELIM EXAM

Name: _______________________________________ Date: _________________

Part I. True / False. Write TRUE if the given statement is Correct or write FALSE if the given statement is Incorrect and give the right word/term to correct the statement. (2 points each)

______________1. Two or more persons may also form a partnership for the exercise of a profession._____________2. A profession is a calling in the preparation for or practice of which academic learning is required and which has for its prime purpose the rendering of public service._____________3. A partnership must have a unlawful object or purpose and must be established for the common benefit or interest of the partners._____________4. A partnership may be constituted in any form, except where movables property or real rights are contributed thereto, in which case a public instrument shall be necessary._____________5. Every contract of partnership having a capital of Two Thousand pesos or more, in money or property, shall appear in a public instrument, which must be recorded in the Office of the Securities and Exchange Commission._____________ 6. Any immovable property or an interest therein may be acquired in the partner’s name._____________7.Recording is necessary as “a condition for the issuance of licenses to engage in business or trade._____________8. De facto partnership, one which has complied with all the legal requirements for its establishment._____________9. Industrial partner, one who contributes money or property to the common fund._____________10. Limited partner is known as Special Partner._____________11. Secret partner, one who does not take any active part in the business although he may known to be a partner._____________12. Co-ownership is generally created by a contract.____________13. The purpose of partnership is the common enjoyment of a thing or right.____________14.A contract of partnership is valid, whenever immovable property is contributed thereto, if an inventory of said property is not made, signed by the parties and attached to the public instrument.____________15. The partnership has a juridical personality same and distinct from that of each of the partners.

Part II. Identification. Write the term/ words that correspond to the given statement. (2 points each)

_____________1.Elements of partnership, it has a special name or designation

_____________2. Elements of partnership, the undertaking of each of the partner is considered as the equivalent of that of the others.

_____________3. Elements of partnership, it is entered into as a means to an end, for the realization of profits with the view of dividing them among the contracting parties.

_____________4.Partnership which consist of general partners who are liable pro rata.

_____________5.Partnership which actually exists among the partners and also as to third persons.

____________6. It is also known as ostensible partnership.

____________7.One who takes charge of the winding up of partnership affairs upon dissolution.

____________8.It is known as partner by implication or nominal partner

____________9.It is also known as “sleeping partner”

____________10.One whose liability to third persons is limited to his capital contribution.

___________11. Partnership which the term for existence is fixed or agreed upon or one formed for a particular undertaking and upon the expiration of the term.

___________12. Partnership formed by the marriage of husband and wife.

___________13.Refers to a joint undertaking to share in the profit and loss.

___________14. Elements of partnership, each of the parties aspires to procure for himself a benefit through the giving of something.

___________15. One who manages the affairs or business of the partnership.

III. Enumeration

1- 5. Define Partnership according to Article 1767 of the Civil Code of the Philippines

6-10. Enumerate the persons who cannot give their consent to a contract of partnership.

11-15. What are the Five Essentials features of a partnership contract.

16-25. What are the rules to be apply in determining whether a partnership exist according to Article 1769 of the Civil Code of the Philippines.

The will to win, the desire to succeed, the urge to reach your full potential... these are the keys that will unlock the door to personal excellence. -Confucius