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denis-greek [22]
3 years ago
8

The ABC Law Firm has a few senior individuals who share the firm's debts, work, and profits. If the firm were to fail, those ind

ividuals could be forced to use personal assets to cover the firm's debts. Which type of business organization does this law firm most likely have?
Business
1 answer:
Paraphin [41]3 years ago
7 0

Answer:

The law firm is likely to be a sole proprietorship.

Explanation:

The ABC Law Firm has a few senior individuals who share the firm's debts, work, and profits. If the firm were to fail, those individuals could be forced to use personal assets to cover the firm's debts.  

These characteristics indicate that ABC is a partnership business.  

A partnership is a formal agreement between two or more people to own and operate a business. In a partnership, there are unlimited liabilities. The business is not a separate entity from the owners. The partners share the liability and profits equally.

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Answer: the control principle of separation of duties is violated

Explanation: because

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5 0
3 years ago
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Gault Corporation had the following shares of stock outstanding on December 31, 2018:
Andreas93 [3]

Answer:

The total amounts payable to preferred stockholders and common stockholders, respectively, are: $480,000 and $320,000.

Explanation:

Cumulative preferred stock has the dominant right over common stocks in term of receiving cash dividend.

The dividend paid to preferred stock per year is: 100 x 20,000 x 8% = $160,000 and the company owed investor 03 years of dividend ( 2016,2017,2018) with the dividend payable amounted to 160,000 x 3 = $480,000.

The dividend paid to common stock is the left over, after paying to preferred stock holders, which is calculated as $800,000 - $480,000 = $320,000.

So, The total amounts payable to preferred stockholders and common stockholders, respectively, are: $480,000 and $320,000.

5 0
3 years ago
Country x would have an absolute advantage over country y in the production of automobiles under what conditions?
Paul [167]
Under the condition that country X can manufacture cars more cheaply. An absolute advantage devours in a country if it makes good over alternative country and uses a smaller amount of wealth to yield that good. The result of a country’s natural legacy is the absolute advantage. Another example is extracting oil in Saudi Arabia is pretty much just a matter of drilling a hole. Generating oil in other countries can is essential substantial exploration and costly technologies for drilling and extraction if certainly they have any oil at all. The United States devours about the richest farmland in the world which manufacture it at ease to grow corn and wheat than in many other countries. Guatemala and Colombia partake environment particularly suitable for growing coffee. Chile and Zambia have about of the world’s richest copper mines. As some have claimed that geography is destiny. Chile will bargain copper and Guatemala will harvest coffee and they will trade. When each country has a product others necessity and it can be manufactured with fewer resources in one country over another then it is easy to visualize all parties do good from trade. Thinking about trade just in relations of geography and absolute advantage is incomplete. Trade actually happens because of comparative advantage.
4 0
3 years ago
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liubo4ka [24]

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The aggregate supply curve of an economy assumes that the wages and other resource prices eventually rise and fall to match upward or downward changes in the price level.

Therefore, the correct option is A.

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