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4 years ago

Which of the following is an advantage of a sole proprietorship form of business?

Business

2 answers:

VladimirAG [237]4 years ago

4 0

Option C is the correct answer.

The advantage of a sole proprietorship form of business is that the owner makes all the decisions.

Further Explanation:

Sole Proprietorship: A sole proprietorship refers to the type of enterprise that is run and owned by one person, and there is no concept of the separate legal entity. The owner and business are treated as one person. The owner has unlimited liability and assumes unlimited risk.

There’s limited personal risk: This option is incorrect.

The owner has unlimited risk since owner and business are considered as one person. There is no concept of separate legal entity in case of the sole proprietorship.

The business can continue indefinitely: This option is incorrect.

The sole proprietorship does not have perpetual succession means as soon as the owner dies the business comes to an end.

The owner makes all the decision: This option is correct.

In case of a sole proprietorship, the owner takes all the decision regarding the business. There is no board of director to assist him in taking the decision making.

All of the above: This option is incorrect.

The sole proprietorship does not have limited liability; it assumes the limited risk, and continues indefinitely.

Learn more:

1. Legal liability of the business

brainly.com/question/5742225

2. The percentage of sales method

brainly.com/question/12960656

3. The sales budget

brainly.com/question/12985585

Answer details:

Grade: High School

Subject: Business Studies

Chapter: Organizational structure

Keywords: Sole proprietorship, a limited personal risk, continue indefinitely, makes all the decision, perpetual succession, advantage of sole proprietorship form of business, all the decisions, there’s, unlimited liability, organization structure, business studies, indefinitely, continue, The business can.

Naily [24]4 years ago

3 0

An advantage of a sole proprietorship form of business is C. THE OWNER MAKES ALL THE DECISIONS.

Sole proprietorship is business owned by an individual. It is easy to establish because its requirements are simple compared to forming a partnership or corporation.

All the decision-making process are made by the owner. The profits of the business are all for the benefit of the owner. However, once the business is losing, even the personal assets of the owner is affected when he or she tries to maintain the business and stop it from going under.

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3 years ago

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2 years ago

Tracy Company, a manufacturer of air conditioners, sold 270 units to Thomas Company on November 17, 2021. The units have a list

tiny-mole [99]

Answer:

See explanation section

Explanation:

Requirement 1

November 17, 2021 Merchandise Inventory Debit $81,000 (Note - 1)

Accounts payable - Tracy Company Credit $81,000

Calculation - $270 units × $400 = $108,000

$108,000 × (100 - 25)% = $81,000

To record the purchase of office equipment on account with a trade discount and a credit terms of 3/10, n/30. As the company uses perpetual inventory system, merchandise inventory is debit.

November 26, 2021 Accounts payable - Tracy Company Debit $81,000

Cash Credit $78,570

Merchandise Inventory Credit $2,430

As Thomas gave the payment within 10 days, Tracy Company provided a 3% discount according to the terms.

Calculation - $81,000 - ($81,000 × 3)% = $81,000 - 2,430 = $78,570

Requirement 2

If Thomas paid on December 15, 2021, Tracy company would not give any discount. However, Thomas paid within 30 days.

Therefore, the journal entry to record the payment is as follows:

December 15, 2021 Accounts payable - Tracy Company Debit $81,000

Cash Credit $81,000

This time he did not receive the discount as he failed to pay within 10 days to get discount.

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4 years ago

Dom has $90,000 that he wishes to invest now in order to use the accumulation for purchasing a retirement annuity in five years.

Irina18 [472]

Answer:

First of all, you must invest enough money in B in order to pay your debt.

present value = future value / expected return

present value = $24,000 / $1.36 = $17,647.06

you have $90,000 - $17,647.06 = $72,352.94 to invest in A.

at the end of year 2, you will have:

future value = present value x expected return = $72,352.94 x $1.20 = $86,823.53

then you should invest that money ($86,823.53) in invested D and at the end of year 4 you will have:

future value = $86,823.53 x $1.66 = $144,127.06

finally, you should invest $144,127.06 in investment E and at the end of ear 5 you will have:

future value = $144,127.06 x $1.12 = $161,422.31

2) it is really hard to draw a diagram without drawing tools, but i will try

⇒ invest $17,647.06 in B ⇒ year 3, collect $24,000

from B and pay off debt

today

$90,000

⇒ invest $72,352.94 ⇒ year 2, invest ⇒ year 4, invest

in A $86,823.53 in D $144,127.06 in E

continues ... ⇒ year 5, collect $161,422.31 from E

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3 years ago

During the introduction stage of a product's life cycle, typical consumers are during the introduction stage of a product's life

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