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Compare and contrast the potential liability of owners of proprietorships, partnerships (general partners), and corporations.
The sole proprietor has limitless liability for matters relating to the business. The meaning of this is that the sole proprietor is accountable for all the obligations of the business, although if those obligations exceed the amount the proprietor has invested in the business.
Every partner in a partnership is generally liable for the activities of the partnership as a whole. Even if there are a hundred partners, everyone is technically accountable for all the debts of the partnership. If 99 partners declare personal bankruptcy, the hundredth partner still is accountable for all the partnership's debts.
A corporation is a legal entity which is liable for its own activities.Stockholders, the corporation's owners, comprise limited liability for the corporation's activities. They cannot lose much more than the amount they paid to buy the corporation's stock.
The Nu-Nu Brothers Inc. (NNBI) has the following capital structure, which it considers to be optional: Debt 25% Preferred Stock 15% Common Equity 60% NNBI''''s expected net income
REPORT To: The Directors of Leaminger plc From: A business advisor Date: December 2002 Subject: Acquiring the turbine machine Introduction In financial
Frankfurt Stock Exchange The roots of the Frankfurt Stock Exchange may be traced back to the period of medieval fairs. As early as the middle of the ninth century, Emperor Ludwi
What is the advantages of IFRS 8 Advantages Allows users to view internal management's approach and highlights what's important from management's point of view.
Using details from table 8, let us compute the 6-month forward rate. Simple arbitrage principle, like the one used to compute the spot rates are used in this proc
Ask question Open Quick Links Quick Links Page Landmarks Content Outline Keyboard Shortcuts Global Menu Top Frame Tabs My UMass Amherst Tab 1 of 2 (active tab) Help & Resource
Illustrate the process of calculating call/ put options yields Issuing corporation will use provision if interest rates fall substantially below coupon rates offered on the se
nd held it until it matured, what annual rate of return would she have earned? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16
Plugging back of the future of profit means the reinvestment by the concerns of its surplus in the business. it is an internal financial of the business and it is more suitable for
Q. Advantages of Trade Credit? i) Easy Availability: Unlike other sources of finance, trade credit is relatively easy to obtain. Except in the case of financially very unsou
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