All categories

3 years ago

Is sole trader or partnership better?

Business

1 answer:

kap26 [50]3 years ago

3 0

Answer:

There are benefits associated with running a partnership, both when compared to a sole trader and a limited company: Shared responsibility. Having more business owners allows the financial and operational responsibility for running the business to be sharedExplanation: The benefit of a partnership over a sole proprietorship is that you'll share the responsibilities, resources, and losses. On the other hand, you also split your profits, and you might face disagreements over how to run the business. One way to mitigate conflict is to create a partnership agreement.

You might be interested in

At a total cost of $5,600,000, Herrera Corporation acquired 280,000 shares of Tran Corp. common stock as a long-term investment.

Volgvan

Answer:

Date Account title Debit Credit

Dec. 31 Investment in Tran Corp. $210,000

Investment Income $210,000

Working:

Herrera owns 280,000 out of 800,000 Tran Corp shares so they will recognize:

= 280,000/800,000 * 600,000

= $210,000 of Tran Corp. net income.

Date Account title Debit Credit

Dec. 31 Cash $140,000

Investment in Tran Corp. $140,000

Working

Cash received as dividend = 0.5 * 280,000 share

= $140,000

6 0

3 years ago

Which of the following lists includes only financial budgets? Budgeted balance sheet, cash budget, and the capital expenditures

IRISSAK [1]

Answer:

Budgeted balance sheet, cash budget, and the capital expenditures budget

Explanation:

The financial budget is the budget which reflects the financial position of the business organization. It used to determine the actual cash position with respect to the cash inflows and the cash outflows

Moreover, it includes three types of budget i.e budgeted balance sheet which shows the financial performance of the company with respect to the assets and liabilities, the cash budget which reflects the inflow and outflow position of cash and the cash expenditure budget which shows the amount spent for purchasing of the capital asset or the cost related to the asset

6 0

3 years ago

The News Corporation, Smile Train, Delta Airlines and Gucci are all examples of

Rus_ich [418]

The news corporation, Smile train, Delta airlines and Gucci are all examples of organizations

Explanation:

The entity that consists of many groups of people who work together for an organization for a particular purpose for an institution or for an association is called as an organization

The tasks here are performed in an organized way and taking the efficient way to approach an presenting them in a logical order is called as organizing there are three main types of business organizations they are the sole proprietorship, partnership and the cooperation

7 0

4 years ago

During an accident, when the vehicle's airbag deploys, it can cause injuries to the

Flura [38]

Heya

the ans is to the passengers or the person who was driving.

thank u

5 0

3 years ago

Marinette Company makes several products, including canoes. The company has been experiencing losses from its canoe segment and

Vesna [10]

Answer:

decrease by 305,000 dollars

Explanation:

Sales 3,300,000

Variavle cost:

materials 710,000

labor 760,000

overhead 560,000

S&A 330,000

total (2,360,000)

contribution 940,000

fixed cost:

tracable (635,000)

operating income 305,000

allocated (560,000)

net (255,000

The canoes division absorbs 305,000 of the common fixed cost

If discountinued the company as a whole will see their net income decreases by this amount. In the short run, the company should only discontinued a project or division when it is not able to afford their own cost. That is not the case, canoes division afford their own cost is the allocated from other activities of the company that generates this loss.

4 0

3 years ago