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AlekseyPX
3 years ago
6

A corporation: Select one: A. Is less costly to organize than a partnership B. Is subject to less regulation and supervision tha

n a partnership C. Is subject to federal income taxes on its earnings, whereas a partnership is not D. Has an owner's capital account for each owner, whereas a partnership does not
Business
1 answer:
larisa86 [58]3 years ago
5 0

Answer:

A corporation:

C. Is subject to federal income taxes on its earnings, whereas a partnership is not.

Explanation:

The other options fit a partnership more than a corporation.  The chief advantages of a corporation over a partnership are the limited liability status of the shareholders of a corporation, which benefits all the shareholders and secondly, the corporation is a separate legal entity from the owners.  This second advantage allows professional managers to lead the company.  With respect to federal income taxes on the earnings, the corporation is taxed directly on its earnings and shareholders also pay taxes on their income from all sources (unless it is an S-corporation), while partners in a partnership enjoy pass-through taxation of their partnership earnings.

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Answer:

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a. Business receives $3,000 on January 1 for 10-month service contract for the period January 1 through October 31. (When the ca
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<u>Solution:</u>

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An adjusting entry needs to be passed:        

Date             Particulars                                debit                  credit  

31st jan        Unearned Revenue                 $300

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( Service revenue that has been collected in advance)                      

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3 years ago
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Afina-wow [57]

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In this case, the sales total to $1,600 while expenses are $1,490. The net cash flow is the difference between the inflows and the outflows. Here, the difference is a positive $110.

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Answer:

C

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