(b) That's wrong. Persons who join together to form a general partnership usually contribute some of their own money and equipment or their time and skills to the business. Whatever assets are contributed by each partner can be thought of as 'partnership property'. It is a pool of property, available to be used to conduct partnership business, and in accordance with what the partners have agreed.

Although it is convenient to refer to 'partnership property', a partnership has no legal existence of its own, and so it cannot own property. It is the partners who jointly own the 'partnership property'. However, once assets are contributed to the partnership, the partners only have a right to receive an appropriate share of what is left after the partnership is ended and the assets are realised. For this reason, the partners are often said to have the 'beneficial' ownership of the pool of partnership property, meaning that they are the ones ultimately entitled to the benefits of ownership even if, in the meantime, the property is being used by the firm.