All categories

3 years ago

Which of the following statements are true regarding owners' equity and ownership rights held in noncorporate entities?

Business

1 answer:

Degger [83]3 years ago

5 0

Answer: A. Owners' equity for proprietorships and partnerships is usually referred to as capital.

B. No distinction is made between invested capital and retained earnings for a proprietorship or a partnership.

C. Neither proprietorships or partnerships issue stock.

Explanation:

The statements that are true regarding owners' equity and ownership rights held in noncorporate entities include:

• No distinction is made between invested capital and retained earnings for a proprietorship or a partnership.

• Neither proprietorships or partnerships issue stock.

• Owners' equity for proprietorships and partnerships is usually referred to as capital.

We should note that sole proprietorships and partnership typically don't have stockholders and shouldn't issue stock as they aren't separated from their founders.

Also, the owners' equity for proprietorships and partnerships is usually referred to as capital. We should note that for a sole proprietorship or a partnership, the equity is the owners capital account which can be seen on the balance sheet.

Based on the above explanation, all the options given above are correct.

You might be interested in

If Expenses are greater than income, you have a surplus

Hunter-Best [27]

False. It's called net income.
A <em>surplus</em> is when your income exceeds your expenses.

6 0

3 years ago

The Atlantic Co. is an all-equity company with sales of $21,600, costs of $14,780, depreciation of $2,000, and taxes of $1,012.

lora16 [44]

Answer:

$5174.75

Explanation:

(21600-14780-2000)*1.22*0.88=5174.75

3 0

4 years ago

The terms “production-oriented leaders” and “employee-oriented leaders” are associated with which research effort to identify th

lions [1.4K]

The two terms are associated with MICHIGAN LEADERSHIP STUDIES which was geared toward identifying the communication patterns of leaders.
The study also identified three critical features of effective leaders, which are: task oriented behavior, participative leadership and relationship oriented behavior.

6 0

3 years ago

An automated turning machine is the current constraint at Jordison Corporation. Three products use this constrained resource. Da

Maru [420]

Answer:A. LN, JQ, RQ

Explanation:

To know the current profitability, we need to determine the contribution margin unit by the minutes on the constraints .

a) For LN

Contribution by unit = Selling price per unit- Variable cost per unit

$ 161.88 -$116.12 = $45.76

Contribution by the minutes = Contribution by unit / Minutes on the constraint

= $45.76/ 2.60 = 17.60

B) For JQ

Contribution by unit = Selling price per unit- Variable cost per unit

$ 350.41 -$279.11 = $71.3

Contribution by the minutes = Contribution by unit / Minutes on the constraint

= $71.3/ 4.60 = 15.50

c) For RQ

Contribution by unit = Selling price per unit- Variable cost per unit

$ 446.71 -$338.71 = $108

Contribution by the minutes = Contribution by unit / Minutes on the constraint

= $108/ 7.50 = 14.40

In order of their current profitability from most profitable to least profitable, We have LN with 17.60, next JQ with 15.50 and the least RQ with 14.40

4 0

4 years ago

All of the following are reasons to get organized except:

riadik2000 [5.3K]

Answer:

the answer is A. inefficiency

3 0

4 years ago