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Maslowich
3 years ago
7

The legal definition of "small business" varies by country and by industry. In the United States, the Small Business Administrat

ion establishes small business size standards on an industry-by-industry basis, but generally specifies a small business as having fewer than five hundred employees for manufacturing businesses and less than $7.5 million in annual receipts for most non-manufacturing businesses. Please explain why leasing as a capital financing alternative is an advantage for small business.
Business
1 answer:
tamaranim1 [39]3 years ago
6 0

Answer:

Leasing as a capital financing is an alternative for small business for three important reasons: better technology, better capital management and tax incentives.

Explanation:

1. Better technology for the business.

Instead of buying the equipment, a lease is a better option because allows the organization to use cutting edge technology for the operation of a business.

2. Better capital management.

Buying machinery is a capital-intensive activity. Leasing let use the same machinery by less amounts of money and invest capital in other useful activities for the organization.

3. Tax benefits

Leasing is  tax deductible. Reducing the fiscal pressure over the small business.

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The changes in account balances for Elder Company for 2018 are as follows: Assets $ 680,000 debit Common stock 350,000 credit Li
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Answer:

Net income will be $160000

So option (c) will be the correct answer

Explanation:

We have given debt common stock = $680000

Credit liabilities = 350000

Credit paid in capital = 190000

And excess of par 30,000 credit Assuming the only changes in retained earnings

So 680000 = 350000+190000+30000+ retained earning

So retained earning = $110000

Dividend paid = $50000

So net income = dividend paid + retained earning = $110000+$50000 = $160000

So option (c) will be the correct answer

4 0
3 years ago
A point outside the production possibilities curve represents a combination of goods that is
pochemuha

Answer:

A production combination outside of the PPF is unattainable by the economy with the given resources and technology.

This represents the Concept of scarcity in economics.

If the economy wishes to achieve the production point outside the frontier, they will have to enhance the production possibility capacity by introducing new technology or finding new resources.

Explanation:

4 0
3 years ago
A store that sells a huge variety of one type of product, such as books, in order to dominate the market for that product is cal
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7 0
4 years ago
Shareholders of public companies need to appoint a board of directors to represent their interests because:_____.
Svetllana [295]

Shareholders of public companies need to appoint a board of directors to represent their interests because of the separation of ownership and control.

Today's board members are supposed to reflect a variety of independent viewpoints. Strategic monitoring and planning are the major responsibilities of a board of directors. Even though these phrases are frequently used, it's crucial to remember that these tasks constitute the foundation of effective company planning.

A board of directors serves much more than just as the organization's public face. When selecting new board members to fill open positions, boards often seek for specific traits. Board members anticipate that their other directors will be open to challenging and in-depth questioning that seek to examine all sides of an issue. Board members must be thoroughly informed about any significant issues that have an impact on the company. Because risks are multiplying and getting more complicated, identifying risks has become an essential component of the board job.

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4 0
2 years ago
Your boss has given you permission to order new office supplies answer
Gre4nikov [31]
Wow! If my boss is this generous, I will first thank him or her. After that, I will make a list of the office supplies I will need to be more productive at work. Note that not all supplies may be granted so don't keep your hopes up. The next thing I'll do is to have him acknowledge the list I made and thank him for giving me this opportunity.

So let us note what we have to do:
1) Thank your boss.
2) List down the office supplies you need.
3) Have your boss authorize the list and thank him or her once again.
4 0
3 years ago
Read 2 more answers
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