Solution-What is the corporate veil

What is the corporate veil

Assignment Help Cost Accounting

Reference no: EM131912806

A corporation is treated as separate legal entity distinct from its shareholders. A concept that separates shareholders personality from the personality of company called corporate veil.

The company's liabilities and are the legal liabilities of the company and the shareholders of company will not be liable for company's liabilities.

Piercing of corporate veil-

It is also called the lifting of corporate veil. As company is considered separate legal entity hence act done by a company will be in the name of company and shareholders of the company will be disregarded for that acts.

This shows that there is a curtain or veil between the company and its shareholders. But in a circumstance when this is necessary to disregard the corporate personality, and look who is the person controlling the company. It is called lifting of corporate veil.

what is the corporate veil and under what circumstance can the corporate veil be pierced

Reference no: EM131912806

Questions Cloud

What was the standard deviation of the stocks returns : A stock had returns of 18 percent, 39 percent, and -18 percent over the past three years. What was the standard deviation of the stock's returns?

What was the beginning pbo : Mars Inc. has a defined benefit pension plan. On December 31 (the end of the fiscal year), the company received the PBO report. What was the beginning PBO?

Power of the test to find a mean difference : The standard deviation of the difference was 5 mmHg. What was the power of the test to find a mean difference of 2.5 mmHg at a = 0.05 (two-sided)?

What is he initial investment outlay : The company spent and expensed 4150,000 on research related to the new product last year. would this change your answer? Explain.

What is the corporate veil : It is called lifting of corporate veil. what is the corporate veil and under what circumstance can the corporate veil be pierced

Distinction between statistical and practical significance : 1. Every user of statistics should understand the distinction between statistical significance and practical (or clinical) significance.

Determine the purpose of your presentation : Pick a professional or career topic that is of personal interest to you (e.g., becoming a manager, criminal justice careers, programming, interview tips.

Prepare a cash budget for the month of september and october : Prepare separate schedules for expected collections from customers. Prepare a cash budget for the months of September and October.

Evaluate current operating system : Lander Corporation used the data to evaluate their current operating system. The company sells items for $18 each and used a budgeted selling price

User Account

All Pages

What is the corporate veil

Reference no: EM131912806

Reference no: EM131912806

Questions Cloud

Reviews

Write a Review

Cost Accounting Questions & Answers

Cost accounting assignment

Prepare the journal entries

Advise as to the liability of all the parties

Prepare revenues budget

Effect of exchange rate changes on cash and cash

Corporate governance

Cost-benefit analysis

Non-annual interest rates and annuities

Job costing in service organizations

Accounting for bad debt expense

Accounting and partnership problems

Development of relevant cash flows

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT