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3 years ago

There are only four legal structures to form and operate a business.TrueFalse

Business

1 answer:

coldgirl [10]3 years ago

6 0

Answer:

The above statement is false.

Explanation:

The most common legal structure of business are as follows:

Sole proprietor : It is a form of business in which a business is fully controlled by only one person. He takes all the decision himself . He has unlimited liability. His personal assets are used by the creditors to recover their money

Partnership: It is a form of business in which minimum 2 person come together to form a partnership firm. They share profit and loss as agreed between them. They have a partnership deed . Every partner have unlimited liability .

Limited liability Partnership : This form is recently introduced. This form come under the limited liability 2008. It has separate legal entity.

Corporation: A corporation has a independent legal entity, separate from its owners and has different tax calculation than other structure. The owner of the corporation has limited liability upto their share in corporation

S-Corporation: This business structure is more simple than corporation. It is more beneficial for small owners and also have some tax benefits. S Corporation can also cash accounting system rather than accural method of accounting.

Thus, the statement is false that the legal structure of business is only four.

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Madeline quits her job, at which she was earning $20,000 per year. She then takes $50,000 out of savings, on which she was earni

Alenkinab [10]

Answer:

A. Madeline's accounting cost is $75,000

B. Madeline's economic cost is $100,000

C. Madeline's accounting profit is $75,000

D. Madeline's economic profit is is $50,000

Explanation:

A. To calculate Madeline's accounting cost we would have to make the following calculation:

Madeline's accounting cost=cost of supplies+rent+labour costs

Madeline's accounting cost=$50,000+$10,000+$15,000

Madeline's accounting cost=$75,000

B. To calculate Madeline's economic cost we would have to make the following calculation:

Madeline's economic cost=explicit cost+implicit cost

=$75,000+opportunity cost

=$75,000+0.10*$50,000+earning job

=$75,000+$5,000+$20,000

=$100,000

C. To calculate Madeline's accounting profit we would have to make the following calculation:

Madeline's accounting profit=revenue-accounting cost

=$150,000-$75,000

=$75,000

D. To calculate Madeline's economic profit we would have to make the following calculation:

Madeline's economic profit=revenue-economic profits

=$150,000-$100,000

=$50,000

6 0

3 years ago

In 2019, Audrey claimed $2,100 on her Federal tax return for her Child and Dependent Care Expenses Credit. Her Federal adjusted

Maurinko [17]

Answer:

$1,050

Explanation:

Her adjusted gross income is $32,750, so she can claim maximum of 50% of Child and Dependent Care Expenses as CDC Credit

= $2,100 * 50%

= $1,050

So, the amount she can claim for the California Child and Dependent Care Expenses (CDC) Credit is $1,050

5 0

3 years ago

If your nominal income rose by 5.3 percent and the price level rose by 3.8 percent in some year, by what percentage would your r

dimulka [17.4K]

Answer:

1. Increase in real income percentage = 1.5%

2. Rate of inflation = 1.7%

Explanation:

For computing the percentage of how much real income would increase, we have to apply the formulas which are shown below:

The increase in real income percentage would be equal to

= increase in nominal income percentage - increase in price level percentage

= 5.3% - 3.8%

= 1.5%

And, the rate of inflation equals to

Nominal income - the rate of inflation = Real income

2.8% - rate of inflation = 1.1%

So, the rate of inflation = 1.7%

4 0

3 years ago

In a portfolio problem, X1, X2, and X3 represent the number of shares purchased of stocks 1, 2, and 3, which have selling prices

vaieri [72.5K]

Answer:

The correct solution is " $x_1 \leq 0.35 (x_1 + x_2 + x_3)$ ".

Explanation:

According to the question,

Let,

For stock 1,

The number of shares to be purchased will be " $x_1$ ".

For stock 2,

The number of shares to be purchased will be " $x_2$ ".

For stock 3,

The number of shares to be purchased will be " $x_3$ ".

then,

The cumulative number of shares throughout stock 1 would be well over or equivalent towards the approximate amount of all the shares or stocks for the set limit.

i.e., $x_1+x_2+x_3$

Thus the correct equation is " $x_1 \leq 0.35(x_1+x_2+x_3)$ ".

7 0

2 years ago

Potential businesses owners need to begin by asking what important question?

vesna_86 [32]

Potential businesses owners need to begin by knowing the market for their product or service. Several businesses are good ideas on paper but don't have a market and fail.

6 0

3 years ago