How should public funds be allocated

Rank the following types of businesses in order of risk to you, with the highest being number 1: partnership, limited partnershi

kompoz [17]

Answer:

Sole Proprietorship
Partnership
Limited Partnership
Limited Liability Company

Explanation:

Sole Proprietorship is the type of business in which the liability is not limited. Due to this issue, the owner is solely responsible to pay off the debts of company from his personal owned assets if the business goes bankrupt.

Partnership is just like sole proprietorship but here the partners are the only responsible persons to payoff the debt of the company because the liability is limitless. The burden of the company debts is equally shared among the partners.

Limited Partnership is less risky because the liability is limited and only the amount invested in the business is subjected to the payment of borrowings from the lenders. The limited partner is responsible for his actions which means if his misdeed resulted in fine then it would be paid from his share first and then the other partners are equally liable to for compensation if their is still any amount left.

In the case of Limited liability company, the liability is limited and the burden of the payment of the liability falls on the company. So the investor is not subjected to pay the debts of the company because the limited liability company is a separate entity and is solely liable to pay for its debts.

8 0

3 years ago

Recognizing something as a revenue instead of as a liability has a positive effect on the reported financial statements because:

Pani-rosa [81]

Revenue and liability has influence on reported financial statements because;

it understates liabilities
it overstates revenues

<h3>What is revenue and liability?</h3>

Revenue serves as the money that is been generated by the company as a profit while a liability serves as future sacrifices of economic benefits.

However, recognizing something as revenue instead of liability is dangerous because it can results in overstated net income.

Learn more about revenue at;

brainly.com/question/25855858

4 0

2 years ago

Riverbed Company sells goods that cost $320,000 to Ricard Company for $407,000 on January 2, 2020. The sales price includes an i

Alecsey [184]

Answer:

a) Journal entries to record the sale on January 2, 2020:

Debit Accounts Receivable with $407,000

Credit Sales Account with $368,500

Credit Deferred Revenue (Installation Fee) with $38,500

Being sales of goods and installation services.

b) Income Statement for 1st Quarter of 2020

Sales - $368,500

Installation Fee - $19,250

Total Income - $387,750

less cost of sales - $320,000

Net Income - $67,750

c) The revenue Shaw should recognize in relation to the sale to Ricard is $387,750 (goods and accrued installation fee). The installation fee to be recognized is for 3 months only.

Explanation:

The installation fee is for 6 months. Therefore, 3 months' worth of fee will be recognized in the income statement ending on March 31, 2020.

7 0

2 years ago

__________________ are ways that a nation can draw up regulations, inspections, and paperwork to make it more costly or difficul

Diano4ka-milaya [45]

Answer: Nontariff barriers

Explanation:

Nontariff barriers are trade barriers that are used whereby the import and export of goods and services are restricted. It should be noted that the restriction is not by tariffs but can include include embargoeds, quotas, sanctions, and levies.

The main reason for trade barriers are to generate revenue for the government and also to protect the local industries.

8 0

2 years ago

"Prepare the issuer's journal entry for each of the following separate transactions.

Charra [1.4K]

Answer:

Dr cash $303,500

Cr common stock $133,500

Cr paid in capital in excess of par value $170,000

Second issue of shares:

Dr cash $74,000

Cr common stock $74,000

Explanation:

The cash received from the issuance of 44,500 at $3 par value is $303,500 which is to debited to cash and credited to common stock for$133,500 ($3*44,500) while the balance of $170,000 ($303,500-$133,500) is credited to paid in capital in excess par value account.

On the issuance of no par value common stock for cash of $74,000,the cash account is debited as usual with $74,000 while the common stock account is credited with same amount.

3 0

3 years ago