Answer:
C. The termination of the firm's legal existence.
Explanation:
General partners are individuals, two or more , who come together to own a business and controls daily activities of the business. Each member has unlimited liability and their action can legally bind the activities of the business. They share profit and losses equally.
According to fact pattern 27-3, if the partners agree to dissolve one of their business line- equity lending as in the case above and the company's assets are shared among the partners, it would result in the termination of the firm's legal existence.
Once there is a breach by any of the partners as contained in the partnership agreement and the partner's asset shared, that is dissolution. The partnership business has therefore been terminated legally and cease to exit.
Answer:
b) overall low-cost leadership
Explanation:
By Michael Porter, this is one of the <em>generic strategies</em>. This strategy implies that the company is dominating the market by securing a low-cost approach across all channels (supplier side, customers, rivals). This is generally achieved by low operating costs and by the factors listed out in the example itself (influencing rivals and suppliers). This type of strategy puts a company ahead of most of its competitors.
Answer:
Explanation:
The journal entries are shown below:
On January 31
Allowance for doubtful accounts A/c Dr $800
To Account receivable A/c $800
(Being the written off amount is recorded)
On January 31
Account receivable A/c Dr $300
To Allowance for doubtful accounts A/c $300
(Being the reverse entry is made)
On March 9
Cash A/c Dr $300
To Accounts receivable A/c $300
(Being the amount is collected)
Answer:
The correct option is E
Explanation:
The formula to compute the accounts receivable turnover of the company for the Year 2 is as:
Accounts Receivable Turnover = Net Credit Sales / Average Accounts Receivable
where
Net Credit Sales be $723,000
And
Average Accounts Receivable is computed as:
Average Accounts Receivable = Accounts receivable Year 1 + Accounts receivable Year 2 / 2
= $86,500 + $82,750 / 2
= $169,250 / 2
= $84,625
Putting the values in the above formula:
= $723,000 / $84,625
= 8.54
