A. True

Assume the football team is set up as a C corporation and that Lenny, Sarah, and Sam are the shareholders. The team is sued for

blagie [28]

Answer:

The answer is option A) The corporation may have liability, but not the individual owners.

Explanation:

The corporation may have liability, but not the individual owners because it is a C Corporation.

A C Corporation legally separates owners' or shareholders' assets and income from that of the corporation. This helps to limit the liability of investors and firm owners since the most that they can lose in the business's failure is the amount they have invested in it.

So, even if the team get sued for negligence because an individual who turned to see the quarterback running naked crashed her car, the corporation will have liability.

4 0

3 years ago

Credit crunch definition.

natta225 [31]

Answer:

A sudden sharp reduction in the availability of money or credit from banks and other lenders.

5 0

3 years ago

Does this production function exhibit increasing, decreasing, or constant returns to scale? A. Decreasing returns to scale bec

horsena [70]

Answer: Option A : Decreasing returns to scale because the inputs exhibit diminishing marginal returns.

Explanation:

Return to scale measures the degree of effect certain changes in the input factors(parameters) has on the output in the long run.

Also in simple words, Marginal returns in Economics describes a situation where the increasing the input or intake of a commodity leads to decrease in satisfaction (output).

Hence, for a system that it's input exhibits marginal returns, increasing the input(e.g Capital, Land) leads to decrease in output (satisfaction; Marginal returns parlance) thereby DECREASING the RETURN TO SCALE.

4 0

3 years ago

Independent of your answer to requirement (1), assume the company plans to produce 620,000 units of finished product in the thre

exis [7]

Answer:

Purchases= 1,595,000 pounds

Explanation:

<u>Giving the following information: </u>

Production= 620,000 units

Beginning raw materials inventory= 730,000 pounds

Desired ending inventory= 25% of the three months requirement.

Each unit requires 3 pounds of raw material.

<u>To calculate the purchases required, we need to use the following formula:</u>

Purchases= production + desired ending inventory - beginning inventory

Purchases= (620,000*3) + (620,000*3)*0.25 - 730,000

Purchases= 1,595,000 pounds

6 0

2 years ago

Stein agrees to pay Choi and Amal $10,000 each for a one-third (33 1/3%) interest in the Choi and Amal partnership. Immediately

sladkih [1.3K]

Answer:

Journal entry to record Stein's purchase of the partners' interest.

Dr. Cr

Cash $10,000

Stein Capital $10,000

Explanation:

Admission of new partner in the partnership will not effect the balance of other partners. It will effect the percentage share between the partners only

6 0

3 years ago