Advise Harry with reasons for the advice given

Assignment Help Accounting Basics
Reference no: EM132566700

Questions -

Q1. Masks R Us Pty Ltd is now trading unprofitably as a result of the actions of Tom and Dick stated above (in question 5). The company now has difficulty in paying its debts and is falling behind in its tax payments to the Australian Taxation Office.

Harry, as a director of Masks R Us Pty Ltd, is concerned about the increasing company debts and the difficulties in the company's cash flow to make timely payments.

You are an accountant. Harry consults you for advice on whether he can be personally liable, in these circumstances, for the company's debts under the Corporations Act.

Advise Harry with reasons for the advice given.

Q2. Assume a debtor has issued a statutory demand to Mask R Us Pty Ltd for the non-payment of a $10,000 debt.

Explain, with reference to the Corporations Act, the legal options available to the company in responding to the statutory demand and the legal consequences of ignoring the statutory demand?

Reference no: EM132566700

Questions Cloud

What would be the effect on the company : Suppose the average sales price per CD unit did not increase, when the company began its special producing the CDs, what would be the effect on the company
How was humbert humbert : In detail how was Humbert Humbert from "Lolita" a monster of vanity?
Integrated response systems : Discuss security integrated response systems that can be utilized in transportation security.
Why is this issue important : Why is this issue important? What are the consequences for not resolving this issue? Who can you interview or where can
Advise Harry with reasons for the advice given : You are an accountant. Harry consults you for advice on whether he can be personally liable, Advise Harry with reasons for the advice given
How many additional units would have to be sold : If management wanted to increase its income from this product by 10% , how many additional units would have to be sold to reach this income level.
Identify two books for special ed-3rd grade name : Identify two books for special ed-3rd grade name a plan to assess the literacy of your students based on the book.
Summarize jule argument into premises and a conclusion : Pulp Fiction (1994) Vince use the socratic method on Jules during their conversation about giving someone's wife a foot massage
What key performance measures on the balanced scorecard : Which is NOT one of the four perspectives of key performance measures on the balanced scorecard? internal business processes

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd