There are different types of business organizations available. The people choose the type of business organizations according to the attributes of the business. The attributes of business are − Proprietorship Partnership Corporation LLC Number of owners Only 1 owner 2 or more people termed as parts 1 or more. They are termed as stockholders 1 or more. They are termed as members Business taxation No additional business income tax No additional business income tax Additional business income tax No additional business income tax Owner Liability Unlimited Liability Unlimited Liability Limited Liability Limited Liability Legal entity Not a separate legal entity Not a separate legal entity A separate legal entity with same rights A separate legal entity with same rights Business Life Business ends with the death of owner or by his choice Business ends with the death of partners or by their choice Indefinite Indefinite Whether each description best refers to a sole proprietorship, partnership, corporation and LLC. The given descriptions are − Micah and Nancy own Financial services, which pays a business income tax, Micah and Nancy do not have personal responsibility for the debts of Financial Services Riley and Kay own Speedy Packages, a courier service. Both are personally liable for the debts of the business. IBC Services does not have a separate legal existence apart from the person who owns it. Trent Company is owned by Trent Malone, who is personally liable for the debts of the company. Ownership of Zander Company is divided into 1000 shares of stock. The company pays a business income tax. Physio Products does not pay income taxes and one owner. The owner has unlimited liability for business debt AJ Company pays a business income tax and has two owners Jeffy Auto is a separate legal entity from its owners, but it does not pay business income tax

Question

Want to see the full answer?

Answer 1

Question

Definition Definition Arrangement between two or more people whereby they agree to manage business operations and share its profits and losses in an agreed ratio. The agreement drafted and signed by the partners of the firm is termed as a partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, and drawings of a partner.

Chapter 1, Problem 6E

To determine

Concept Introduction:
There are different types of business organizations available. The people choose the type of business organizations according to the attributes of the business.

The attributes of business are −

Proprietorship Partnership Corporation LLC
Number of owners Only 1 owner 2 or more people termed as parts 1 or more. They are termed as stockholders 1 or more. They are termed as members
Business taxation No additional business income tax No additional business income tax Additional business income tax No additional business income tax
Owner Liability Unlimited Liability Unlimited Liability Limited Liability Limited Liability
Legal entity Not a separate legal entity Not a separate legal entity A separate legal entity with same rights A separate legal entity with same rights
Business Life Business ends with the death of owner or by his choice Business ends with the death of partners or by their choice Indefinite Indefinite

Whether each description best refers to a sole proprietorship, partnership, corporation and LLC.

The given descriptions are −

Micah and Nancy own Financial services, which pays a business income tax, Micah and Nancy do not have personal responsibility for the debts of Financial Services

Riley and Kay own Speedy Packages, a courier service. Both are personally liable for the debts of the business.

IBC Services does not have a separate legal existence apart from the person who owns it.

Trent Company is owned by Trent Malone, who is personally liable for the debts of the company.

Ownership of Zander Company is divided into 1000 shares of stock. The company pays a business income tax.

Physio Products does not pay income taxes and one owner. The owner has unlimited liability for business debt

AJ Company pays a business income tax and has two owners

Jeffy Auto is a separate legal entity from its owners, but it does not pay business income tax

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 2

Question

Definition Definition Arrangement between two or more people whereby they agree to manage business operations and share its profits and losses in an agreed ratio. The agreement drafted and signed by the partners of the firm is termed as a partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, and drawings of a partner.

Chapter 1, Problem 6E

To determine

Concept Introduction:
There are different types of business organizations available. The people choose the type of business organizations according to the attributes of the business.

The attributes of business are −

Proprietorship Partnership Corporation LLC
Number of owners Only 1 owner 2 or more people termed as parts 1 or more. They are termed as stockholders 1 or more. They are termed as members
Business taxation No additional business income tax No additional business income tax Additional business income tax No additional business income tax
Owner Liability Unlimited Liability Unlimited Liability Limited Liability Limited Liability
Legal entity Not a separate legal entity Not a separate legal entity A separate legal entity with same rights A separate legal entity with same rights
Business Life Business ends with the death of owner or by his choice Business ends with the death of partners or by their choice Indefinite Indefinite

Whether each description best refers to a sole proprietorship, partnership, corporation and LLC.

The given descriptions are −

Micah and Nancy own Financial services, which pays a business income tax, Micah and Nancy do not have personal responsibility for the debts of Financial Services

Riley and Kay own Speedy Packages, a courier service. Both are personally liable for the debts of the business.

IBC Services does not have a separate legal existence apart from the person who owns it.

Trent Company is owned by Trent Malone, who is personally liable for the debts of the company.

Ownership of Zander Company is divided into 1000 shares of stock. The company pays a business income tax.

Physio Products does not pay income taxes and one owner. The owner has unlimited liability for business debt

AJ Company pays a business income tax and has two owners

Jeffy Auto is a separate legal entity from its owners, but it does not pay business income tax

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Definition Definition Arrangement between two or more people whereby they agree to manage business operations and share its profits and losses in an agreed ratio. The agreement drafted and signed by the partners of the firm is termed as a partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, and drawings of a partner.

Chapter 1, Problem 6E

To determine

Concept Introduction:
There are different types of business organizations available. The people choose the type of business organizations according to the attributes of the business.

The attributes of business are −

Proprietorship Partnership Corporation LLC
Number of owners Only 1 owner 2 or more people termed as parts 1 or more. They are termed as stockholders 1 or more. They are termed as members
Business taxation No additional business income tax No additional business income tax Additional business income tax No additional business income tax
Owner Liability Unlimited Liability Unlimited Liability Limited Liability Limited Liability
Legal entity Not a separate legal entity Not a separate legal entity A separate legal entity with same rights A separate legal entity with same rights
Business Life Business ends with the death of owner or by his choice Business ends with the death of partners or by their choice Indefinite Indefinite

Whether each description best refers to a sole proprietorship, partnership, corporation and LLC.

The given descriptions are −

Micah and Nancy own Financial services, which pays a business income tax, Micah and Nancy do not have personal responsibility for the debts of Financial Services

Riley and Kay own Speedy Packages, a courier service. Both are personally liable for the debts of the business.

IBC Services does not have a separate legal existence apart from the person who owns it.

Trent Company is owned by Trent Malone, who is personally liable for the debts of the company.

Ownership of Zander Company is divided into 1000 shares of stock. The company pays a business income tax.

Physio Products does not pay income taxes and one owner. The owner has unlimited liability for business debt

AJ Company pays a business income tax and has two owners

Jeffy Auto is a separate legal entity from its owners, but it does not pay business income tax

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Definition Definition Arrangement between two or more people whereby they agree to manage business operations and share its profits and losses in an agreed ratio. The agreement drafted and signed by the partners of the firm is termed as a partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, and drawings of a partner.

Chapter 1, Problem 6E

To determine

Concept Introduction:
There are different types of business organizations available. The people choose the type of business organizations according to the attributes of the business.

The attributes of business are −

Proprietorship Partnership Corporation LLC
Number of owners Only 1 owner 2 or more people termed as parts 1 or more. They are termed as stockholders 1 or more. They are termed as members
Business taxation No additional business income tax No additional business income tax Additional business income tax No additional business income tax
Owner Liability Unlimited Liability Unlimited Liability Limited Liability Limited Liability
Legal entity Not a separate legal entity Not a separate legal entity A separate legal entity with same rights A separate legal entity with same rights
Business Life Business ends with the death of owner or by his choice Business ends with the death of partners or by their choice Indefinite Indefinite

Whether each description best refers to a sole proprietorship, partnership, corporation and LLC.

The given descriptions are −

Micah and Nancy own Financial services, which pays a business income tax, Micah and Nancy do not have personal responsibility for the debts of Financial Services

Riley and Kay own Speedy Packages, a courier service. Both are personally liable for the debts of the business.

IBC Services does not have a separate legal existence apart from the person who owns it.

Trent Company is owned by Trent Malone, who is personally liable for the debts of the company.

Ownership of Zander Company is divided into 1000 shares of stock. The company pays a business income tax.

Physio Products does not pay income taxes and one owner. The owner has unlimited liability for business debt

AJ Company pays a business income tax and has two owners

Jeffy Auto is a separate legal entity from its owners, but it does not pay business income tax

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 1, Problem 6E

To determine

Concept Introduction:
There are different types of business organizations available. The people choose the type of business organizations according to the attributes of the business.

The attributes of business are −

Proprietorship Partnership Corporation LLC
Number of owners Only 1 owner 2 or more people termed as parts 1 or more. They are termed as stockholders 1 or more. They are termed as members
Business taxation No additional business income tax No additional business income tax Additional business income tax No additional business income tax
Owner Liability Unlimited Liability Unlimited Liability Limited Liability Limited Liability
Legal entity Not a separate legal entity Not a separate legal entity A separate legal entity with same rights A separate legal entity with same rights
Business Life Business ends with the death of owner or by his choice Business ends with the death of partners or by their choice Indefinite Indefinite

Whether each description best refers to a sole proprietorship, partnership, corporation and LLC.

The given descriptions are −

Micah and Nancy own Financial services, which pays a business income tax, Micah and Nancy do not have personal responsibility for the debts of Financial Services

Riley and Kay own Speedy Packages, a courier service. Both are personally liable for the debts of the business.

IBC Services does not have a separate legal existence apart from the person who owns it.

Trent Company is owned by Trent Malone, who is personally liable for the debts of the company.

Ownership of Zander Company is divided into 1000 shares of stock. The company pays a business income tax.

Physio Products does not pay income taxes and one owner. The owner has unlimited liability for business debt

AJ Company pays a business income tax and has two owners

Jeffy Auto is a separate legal entity from its owners, but it does not pay business income tax

Answer 6

Chapter 1, Problem 6E

To determine

Concept Introduction:
There are different types of business organizations available. The people choose the type of business organizations according to the attributes of the business.

The attributes of business are −

Proprietorship Partnership Corporation LLC
Number of owners Only 1 owner 2 or more people termed as parts 1 or more. They are termed as stockholders 1 or more. They are termed as members
Business taxation No additional business income tax No additional business income tax Additional business income tax No additional business income tax
Owner Liability Unlimited Liability Unlimited Liability Limited Liability Limited Liability
Legal entity Not a separate legal entity Not a separate legal entity A separate legal entity with same rights A separate legal entity with same rights
Business Life Business ends with the death of owner or by his choice Business ends with the death of partners or by their choice Indefinite Indefinite

Whether each description best refers to a sole proprietorship, partnership, corporation and LLC.

The given descriptions are −

Micah and Nancy own Financial services, which pays a business income tax, Micah and Nancy do not have personal responsibility for the debts of Financial Services

Riley and Kay own Speedy Packages, a courier service. Both are personally liable for the debts of the business.

IBC Services does not have a separate legal existence apart from the person who owns it.

Trent Company is owned by Trent Malone, who is personally liable for the debts of the company.

Ownership of Zander Company is divided into 1000 shares of stock. The company pays a business income tax.

Physio Products does not pay income taxes and one owner. The owner has unlimited liability for business debt

AJ Company pays a business income tax and has two owners

Jeffy Auto is a separate legal entity from its owners, but it does not pay business income tax

Answer 7

Chapter 1, Problem 6E

To determine

Concept Introduction:
There are different types of business organizations available. The people choose the type of business organizations according to the attributes of the business.

The attributes of business are −

Proprietorship Partnership Corporation LLC
Number of owners Only 1 owner 2 or more people termed as parts 1 or more. They are termed as stockholders 1 or more. They are termed as members
Business taxation No additional business income tax No additional business income tax Additional business income tax No additional business income tax
Owner Liability Unlimited Liability Unlimited Liability Limited Liability Limited Liability
Legal entity Not a separate legal entity Not a separate legal entity A separate legal entity with same rights A separate legal entity with same rights
Business Life Business ends with the death of owner or by his choice Business ends with the death of partners or by their choice Indefinite Indefinite

Whether each description best refers to a sole proprietorship, partnership, corporation and LLC.

The given descriptions are −

Micah and Nancy own Financial services, which pays a business income tax, Micah and Nancy do not have personal responsibility for the debts of Financial Services

Riley and Kay own Speedy Packages, a courier service. Both are personally liable for the debts of the business.

IBC Services does not have a separate legal existence apart from the person who owns it.

Trent Company is owned by Trent Malone, who is personally liable for the debts of the company.

Ownership of Zander Company is divided into 1000 shares of stock. The company pays a business income tax.

Physio Products does not pay income taxes and one owner. The owner has unlimited liability for business debt

AJ Company pays a business income tax and has two owners

Jeffy Auto is a separate legal entity from its owners, but it does not pay business income tax

Answer 8

Expert Solution & Answer

Answer 9

Expert Solution & Answer

Answer 10

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 11

Ch. 1 - Prob. 1DQ Ch. 1 - Technology is increasingly used to process...Ch. 1 - Prob. 3DQ Ch. 1 - What are at least three questions business owners...Ch. 1 - Prob. 5DQ Ch. 1 - Describe the internal role of accounting for...Ch. 1 - Identify three type of services typically offered...Ch. 1 - Prob. 8DQ Ch. 1 - Why is accounting described as a service activity?Ch. 1 - What are some accounting-related professions?

	Proprietorship	Partnership	Corporation	LLC
Number of owners	Only 1 owner	2 or more people termed as parts	1 or more. They are termed as stockholders	1 or more. They are termed as members
Business taxation	No additional business income tax	No additional business income tax	Additional business income tax	No additional business income tax
Owner Liability	Unlimited Liability	Unlimited Liability	Limited Liability	Limited Liability
Legal entity	Not a separate legal entity	Not a separate legal entity	A separate legal entity with same rights	A separate legal entity with same rights
Business Life	Business ends with the death of owner or by his choice	Business ends with the death of partners or by their choice	Indefinite	Indefinite

Want to see the full answer?

Chapter 1 Solutions