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Lina20 [59]
3 years ago
15

4. Alex, Becky, and Cindy form a limited liability company. Alex contributes 60% of the capital, and Becky and Cindy each contri

bute 20%. Nothing is decided about how profits will be divided. Alex assumes that he will be entitled to 60% of the profits, in accordance with his contribution. Becky and Cindy, however, assume that the profits will be divided equally. A dispute over the profits arises, and ultimately a court has to decide the issue. What law will the court apply? In most states, what will be the result? How could this dispute have been avoided in the first place?
Business
1 answer:
romanna [79]3 years ago
7 0

Answer:

Explanation:

<u>fact of the case</u>

three people formed a limited liability company with contributions as follows:

  • Alex - 60 percent
  • Becky - 20 percent
  • Cindy - 20 per cent

They dispute over the division of  profits.

<u>profit division</u>

In a limited liability cooperation whose profit division has not been stated in the operation agreement under the UNIFORM LIMITED LIABILITY COMPANY ACT( ULLCA) , then state law will determine the division of profits. Usually in the absense of  an agreement state have divided profits equally among the members.

<u>operating agreement</u>

An operating agreement for an LLC spells out the details of how a business will be managed and operated. Additionally, the term for settling profits and losses may be specified.

<u>opinion</u>

The court may decide that partners will receive an equal division of profits. courts rely usually on the principles of partnership law. in order to avoid the tension of discord between the partners  it is best spelt out  how the company will be managed as well as profit and loss division in an operating agreement.

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c an idea

Explanation:

can't have a business without an idea

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Peter contracted with Abe to buy his motorcycle. Peter thought he had bought the 2011 motorcycle, but Abe had intended to sell h
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This is called a MUTUAL MISTAKE

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4 years ago
Rizzo Goal Inc. produces and sells hockey equipment, often custom made for online orders. The company has the following performa
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Answer and Explanation:

The computation is shown below:

a. The new customer retention rate is

(a) the day above 3 days from order to delivery

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And,

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errors above three per month is

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The reduction in customer retention rate is

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So, the new customer retention rate is

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(b) The total reduction in customer retention rate is

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8 0
3 years ago
Cheyenne Corp. uses a perpetual inventory system. Data for product E2-D2 includes the following purchases. Date Number of Units
4vir4ik [10]

Answer:

The COGS for the June 1st sale is $17 per unit, and the COGS for the August 27th sale is $20 per unit.

Explanation:

<u>Date</u>       <u>Number of units</u>     <u>Unit balance</u>      <u>Unit cost</u>      <u>Average cost</u>

May 7                40                      40                      $17                $17

June 1               (20)                     20                                           $17

July 28              30                      50                     $22               $20

August 27        (30)                     20                                           $20

The average COGS after the purchase on July 28 = [(20 x $17) + (30 x $22)] / 50 = ($340 + $660) / 50 = $20

           

6 0
3 years ago
A. Suppose the wages of computer-factory workers rises. This will cause (the supply / the demand) of tablet computers to (shift
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Answer:

Supply, shift in , rise fall

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the demand , shift out rise rise

the demand shift in fall fall

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