Answer:
If closed the operating income will decrease by 50,000
Is a better scenario to continue with the residential sercives
Explanation:
<em><u>current scenario:</u></em>
contribution margin 450,000
Fixed Cost 480,000
net loss 30,000
<em><u>drop scenario:</u></em>
contribution margin = 0
fixed cost 450,000-370,000 = 80,000
net loss (80,000)
Answer:
B. the cost of the business owner’s time and labor paying for gas for a company vehicle
Explanation:
Explicit cost are known as actual costs. They are costs incurred in the running of a business or in the production process . They are usually reported in the financial statements.
Implicit costs are opportunity costs.
The answer is discouraged by government
Answer:
The above statement is false.
Explanation:
The most common legal structure of business are as follows:
Sole proprietor : It is a form of business in which a business is fully controlled by only one person. He takes all the decision himself . He has unlimited liability. His personal assets are used by the creditors to recover their money
Partnership: It is a form of business in which minimum 2 person come together to form a partnership firm. They share profit and loss as agreed between them. They have a partnership deed . Every partner have unlimited liability .
Limited liability Partnership : This form is recently introduced. This form come under the limited liability 2008. It has separate legal entity.
Corporation: A corporation has a independent legal entity, separate from its owners and has different tax calculation than other structure. The owner of the corporation has limited liability upto their share in corporation
S-Corporation: This business structure is more simple than corporation. It is more beneficial for small owners and also have some tax benefits. S Corporation can also cash accounting system rather than accural method of accounting.
Thus, the statement is false that the legal structure of business is only four.
