<span><span>1. </span>Discuss the following statement: "Corporations are not
really run by their owners." Corporations are run by everyone who works
for the corporation and without everyone working together, it will not run
smoothly and bring in revenue.
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2. Why might an investor choose to become a partner in a limited partnership
instead of purchasing the stock of an open corporation? If an investor decided
to join in a limited partnership instead of purchasing the stock on an open
corporation they would have less to do with the business side as they would in
an open corporation. When an investor joins in a limited partnership they have
less management responsibility and little to no liability besides their initial
investment.
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3. Is growth a good thing for all firms? How does management know when a firm
is ready to grow? Growth is not a good thing for all firms. Depending on what a
company is looking to achieve long term, the financial assets they have now to
achieve their growth and other goals are all subject to what the company is
able to do with the finances and staffing they have. When a corporation is
trying to decide whether or not they should grow, management will examine all
aspects of the company to make sure they align with the growth plan.
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4. If you were to start a business, which ownership form would you choose? What
factors might affect your choice? If I were to start a business, I would
probably choose a limited liability company (LLC) as the ownership form and
structure. An LLC is where the members within the company are not held personally
liable for the company’s debts or liabilities. Think ownership form works well
if you were to join forces an open up a business with a friend or family member.
An LLC keeps the tax side of the business easier as allowing the individuals to
be self-proprietors. When considering factors that may change this decision
they would include: who I am going in business with, what I am in business for,
my end goals, current goals and current financial status. </span>
A gift card is something that anyone, of any age, can buy. This card works only at the certain business it is for. Such as a Burger King gift card, you can only use that card at Burger King. A checking account debit card is a card you can use in any situation, as long as they have the proper equipment. This card extracts money from your banking account, whereas the gift card has a set amount of money on it. Also, a checking account debit card is only given to people 18 and over, since signing a check is technically signing a contract, and using a debit card goes along the same lines as signing a check.
D. To entertain. Elizabeth wants to help them enjoy themselves and also wants them to reflect on the past years
Answer:
a. 19.750 b. 138.250
Explanation:
A. We divide 158.000 by 8 to get the amount per year
158.000/8= 19.750
- Amortization expense (Db) 19.750
- Accumulated amortization (Cr) 19.750
B. On the balance sheet at the end of the first year, we would subtract those 19.750 to the gross value of the patent and the value of the patent would be
158.000 - 19.750 = 138.250
<u><em>Net carrying amount of the patent:</em></u><em> 138.250</em>
Answer: C. II and III
Explanation:
There are 5,000,000 shares of PDQ Corporation as of when they declared the rights offering. This means that every share will get a right to buy stock.
However, as only 1,000,000 shares are being offered per the 5,000,000 shares outstanding it means that one stock may be purchased for every 5 rights.
A customer who owns 500 shares will therefore get 500 rights.
However with one stock up for sale per 5 rights they will receive the opportunity to buy;
= 500/5
= 100 shares
