Mark and Matt co own an auto repair shop 50/50. They each schedule their own customers use their tools and supplies. They each pay half of the utilities and property tax. Which of the following statement apply?

1. Mark and Matt are a partnership because they co-own the business and both work at the location.
2. Mark and Matt are co-owners of the property but run their businesses independent, They are not a partnership.
3. Mark and Matt are a partnership and must file a form 1065.