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Alex
2 years ago
12

A national fast food franchisor filed an action against one of its franchisees, alleging breach of contract. Both parties are co

rporations. The franchisor alleged that the franchisee had failed to pay the franchisor the requisite percentage of the franchisee's profits as required by the franchise contract. The franchisor timely served on the franchisee corporation a notice of deposition, which named the franchisee corporation as the deponent and which stated that the deposition would inquire into the accounting methods and accounting records of the franchisee corporation. How should the defendant franchisee corporation respond to the fact that the notice of deposition does not name a person to be deposed
Business
1 answer:
telo118 [61]2 years ago
3 0

The defendant franchisee corporation should respond to the fact that the notice of deposition does not name a person to be deposed by "designating a person who will testify on its behalf about its accounting methods and accounting records".

<h3>What is meant by defendant franchisee?</h3>

The entity or person accused of committing a wrongdoing is known as the Defendant.

The notice of deposition is - "a document directing a witness to appear to answer questions under oath". The notice includes a time and place where the examination is to occur. The notice is sent to all parties in a lawsuit so that everyone involved has been given notice of the event.

For the given case-

  • The franchisee corporation must choose a witness who will speak on its behalf while testifying about its accounting practices and records.
  • A party may identify the organization in the notice of deposition and specify with reasonable particularity the topics to be covered. The organization should then choose witnesses to give testimony on its behalf.

To know more about the deposition, here

brainly.com/question/24865355

#SPJ4

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Answer:

1,                            Journal entries

Date    Account and explanation         Debi$       Credit$

          Treasury stock (5200*27)          140,400

           Cash                                                              140,400

           (To record purchase treasury stock)

            Cash (1,050*33)                           34,650  

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             (To record sale of treasury stock)  

              Cash (4,150*22)                             91,300

              Paid in capital from sale of            6,300

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2.  Revised equity section

<u>Contributed capital</u>

Common Stock                             740,000

Paid in capital in excess of           <u>226,000</u>

par value-Common Stock

Total paid in capital                        966,000

Retained earnings                         <u> 880,000</u>

Total                                                1,846,000

Less: Treasury stock                      <u>(140,400)</u>

Total Stockholder's equity            $<u>1,705,600</u>

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