Advantage and disadvantage of sole proprietorship, Finance Basics

Assignment Help:

Advantage and Disadvantage of Sole Proprietorship

Advantage of Sole Proprietorship

High supervision of employees
Income motivate owner
Sole trade mostly skilled in the business as good for competition
Low bureaucracy as less time wasted

Disadvantages of Sole Proprietorship

Short economic life consequently does not attract long-term finance, hence, limited growth and expansion.
Boundless liability
Success depends on capability or judgment of owner

Related Discussions:- Advantage and disadvantage of sole proprietorship

Calculate the yield to maturity, Suppose the current yield curve is as foll...

Suppose the current yield curve is as follows: (a) Calculate the current market prices of two bonds with the following annual cash flows: Bond A: A coupon of $60 is due

Determine the approximate payback period, The business plan for a new compa...

The business plan for a new company that has obtained a 5 year lease for operating a local bus service is shown below. Items marked with an asterisk represent continuous cash flow

Necessity of risk adjusted hurdle rates for companies, Discuss the necessit...

Discuss the necessity of risk adjusted hurdle rates for companies with diverse lines of business. Every company invests in new projects based on the expectation of earnings

Finance, the real risk-free rate of interest is 4%. inflation is expected t...

the real risk-free rate of interest is 4%. inflation is expected to be 2% this year and 4% during the next 2 years. assume that the maturity risk premium is zero. what is the yield

Baumol Model , Explain the Baumol Model

Explain the Baumol Model

CH 4 Problems, Homework Chapter 4 A mortgage loan in the amount of $100,000...

Homework Chapter 4 A mortgage loan in the amount of $100,000 is made at 12% interest for 20 years. Payments are to be monthly in each part of this problem. a. What will monthly

Solutions - shareholders and management conflict, Solutions - Shareholders ...

Solutions - Shareholders and Management Conflict Conflicts between management and shareholders may be resolved as follows like: 1. Pegging or attaching managerial compens

DESICIONES DE INVERSION A LARGO PLAZO, LOMBARD COMPANY

LOMBARD COMPANY

Actions of shareholders in agency conflict, Actions of Shareholders in Agen...

Actions of Shareholders in Agency Conflict a) Disposal of assets required like collateral for the debt in this. In this case the bondholder is exposed to more risk becaus

Present value of uneven periodic sum - dcf technique, Present Value of Unev...

Present Value of Uneven Periodic Sum - DCF Technique As in investment decisions it is very rare to acquire even periodic returns and in most cases a company will generate a st

Write Your Message!

Name

Email id

Message

Verfication Code

User Account

All Pages