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3 years ago

Which of the following is a disadvantage to choosing a sole proprietorship business structure?

Business

2 answers:

alisha [4.7K]3 years ago

5 0

Answer A is the correct one. The owner has personal responsibility for the company's liability.

There are many forms of business. Some important forms are Partnership, Corporation, Limited Liability Company, Sole Proprietorship etc.

Sole Proprietorship is a form of business in which the whole business is owned by a single person. He is the one liable for everything happening to the business. He is solely responsible for the liabilities and the profits as well. So this is usually a disadvantage of being a single owner, that you are the only one liable for all losses that may incur.

aliya0001 [1]3 years ago

4 0

Which of the following is a disadvantage to choosing a sole proprietorship business structure? The owner has personal responsibility for the company's liabilities.

A sole proprietorship is the simplest business form that can be operated. A sole proprietorship is owned by one individual and they are responsible for all of the debts the company has. The business is ran by one person and there is no distinction between the person and the business, both fall under the same number (social security number) when filing taxes.

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The periodic expense created by allocating the cost of plant and equipment to the periods in which they are used, representing t

Alex787 [66]

Answer:

Option B Depreciation expense

Explanation:

The allocation of cost of the plant and equipment for the period being used is the concept of depreciation and is a period cost because when the asset is purchased its value decreases gradually with time which means some of the machinery value would be deminish during the year depending upon the technological factors, life of the equipment, etc. So the period cost will arise regardless of that we either use the asset or not which is the definition of period cost which in this case is depreciation cost and the allocation of cost of plant and equipment over its useful life is also depreciation cost.

8 0

3 years ago

Striking Apparels has launched its new stock of summer wear. It plans to target shoppers between the ages of twenty and thirty t

Scorpion4ik [409]

Answer:

"D"

Explanation:

Daniel belongs to the Marketing department of Striking.

4 0

3 years ago

Sarah can study 20 pages per night. each page has three homework problems. if she studies for 3 nights how many homework problem

ss7ja [257]

20 pages in one night times 3 nights = 60. 60 pages times 3 problems per page is 180 problems.

20*3=60
60*3=180

7 0

3 years ago

Dozier Company produced and sold 1,000 units during its first month of operations. It reported the following costs and expenses

Flauer [41]

Answer:

Required 1

Part a

Total Product cost = Variable manufacturing costs + Fixed manufacturing costs

where,

Variable manufacturing costs = ($84,000 + $42,500 + $21,000) ÷ 1,000 units = $147.50

Fixed manufacturing costs = $32,500 ÷ 1,000 units = $32.50

therefore,

Total Product cost = $147.50 + $32.50 = $180.00

Part b

Total period cost = variable non- manufacturing costs + fixed non-manufacturing costs

where,

variable non- manufacturing costs = $15,000 + $5,500 = $20,500

fixed non-manufacturing costs = $24,000 + $28,000 = $52,000

therefore,

Total period cost = $20,500 + $52,000 = $72,500

Required 2

Part a

total direct manufacturing cost = Direct Materials + Direct Labor + Direct (Variable) Manufacturing Overheads

therefore,

total direct manufacturing cost = $84,000 + $42,500 + $21,000 = $147,500

Part b

total indirect manufacturing cost = fixed manufacturing costs

therefore

total indirect manufacturing cost = $32,500

Required 3

Part a

total manufacturing cost = variable manufacturing cost + fixed manufacturing costs

therefore,

total manufacturing cost = $84,000 + $42,500 + $21,000 + $32,500 = $180,000

Part b

total non-manufacturing cost = variable non-manufacturing cost + fixed non-manufacturing cost

therefore,

total non-manufacturing cost = $20,500 + $52,000 = $72,500

Part c

total conversion cost = direct labor cost + manufacturing overheads

therefore,

total conversion cost = $42,500 + $21,000 + $32,500 = $96,000

prime cost = direct material + direct labor

therefore,

prime cost = $84,000 + $42,500 = $126,500

Required 4

Part a

total variable manufacturing cost = direct materials + direct labor + variable manufacturing costs

therefore,

total variable manufacturing cost = $84,000 + $42,500 + $21,000 = $147,500

Part b

total fixed cost = fixed manufacturing costs + fixed non-manufacturing costs

therefore,

total fixed cost = $32,500 + $52,000 = $84,500

Part c

variable cost per unit produced and sold = variable manufacturing cost + variable non-manufacturing

therefore,

variable cost per unit produced and sold = $147.50 + ($20,500 ÷ 1,000) = $168.00

Required 5

incremental manufacturing costs = variable manufacturing costs

therefore,

incremental manufacturing cost = ($84,000 + $42,500 + $21,000) ÷ 1,000 units = $147.50

8 0

3 years ago

On 12/31/X4, Zoom, LLC, reported a $55,500 loss on its books. The items included in the loss computation were $27,000 in sales r

IrinaVladis [17]

Answer:Ordinary Business income loss =-$20,500.

Explanation:

Ordinary business Expenses are the expenses generally accepted according to the industry standards associated with running of a business.

Here, the ordinary business expenses for Zoom include

cost of good sold= $19,-000

employee wages= $17,000

rent expense = $11,500 and therefore will be deducted from its sales revenue.

charitable contributions and qualified dividends, do not cut across all industries and so are not classified under Ordinary Buisness expences.

Ordinary Business income loss = Sales revenue - cost of good sold, -employee wages- rent expense.

$27,000- $19,000-$`17,000-$11,500= -$20,500. to be reported on its X4 return

6 0

3 years ago