Each of the three business forms has certain advantages and disadvantages as summarized here. Sole Proprietorship Partnership
Question:
Each of the three business forms has certain advantages and disadvantages as summarized here.
Transcribed Image Text:
Sole Proprietorship Partnership Advantages Easy to set up All profits go to owner Owner has total control • Few regulations to follow • Easy to start • Skills and talents are pooled • More money available . Disadvantages • Limited expertise • Hard to raise money • Owner has all the risks Hard to attract talented employees . Conflicts between partners . • Profits must be shared • Owners share all risks
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 57% (7 reviews)
There are three common types of businesses sole proprietorship partnership and corporat...View the full answer
Answered By
Hardik Dudhat
I am semi-qualified Chemical Engineering ,I have scored centum in accounting in my senior secondary and in my graduation. I have always helped my fellow students with their concerns on the subject, i have tutored on various tutoring sites in the past and also have taken home tuitions for degree and MBA students. As a tutor, I don't want my students to just get a solution, I want them to understand the concept and never have a doubt in that area thereon and i believe in excelling and not in educating.
0.00
0 Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Business questions
-
Each of the three columns refers to an independent case. All data represent amounts as of January 1, the date the long- term notes receivable were issued, except for the interest income, which is for...
-
Each of the three identical hockey pucks shown in FIGURE 5-44 is acted on by a 3-N force. Puck A moves with a speed of 7 m/s in a direction opposite to the force; puck B is instantaneously at rest;...
-
Each of the three independent situations below describes a capital lease in which annual lease payments are payable at the beginning of each year. The lessee is aware of the lessor's implicit rate of...
-
A strain relaxation test and a creep test are being conducted on a mouse Achilles tendon. If a strain of \epsi 0 = 60% is applied in the strain relaxation test and a stress of \ sigma 0 = 1 MPa is...
-
If you are involved in a virtual meeting where the participants dont meet face-to-face, how can you ensure the meeting is effective?
-
A damped system has the following parameters: \(m=2 \mathrm{~kg}, c=3 \mathrm{~N}-\mathrm{s} / \mathrm{m}\), and \(k=40 \mathrm{~N} / \mathrm{m}\). Determine the natural frequency, damping ratio, and...
-
What is meant by the term fact pleading?
-
Scenario: You are an accountant at Rock Castle Construction. Your boss has asked that you create general purpose financial statements from a trial balance that he has created for you. Additionally,...
-
Bring to mind a wide range of healthcare organizations, such as a long-term care facility, large for-profit hospital, a physicians' practice, Veterans Affairs hospital, or a state-run clinic....
-
Maxwell Communications was organized on December 1 of the current year and had the following account balances at December 31, listed in tabular form: Early in January, the following transactions were...
-
a. List two advantages and two disadvantages of each business form. b. What disadvantage do a sole proprietorship and partnership share?
-
Suppose you work for a company called Greenwood Sky Divers as a sky-diving instructor. Since you have your pilots license, you also give flying lessons on the side. You and the owner of Greenwood Sky...
-
The reaction of 1.40 g of carbon monoxide with excess water vapor to produce carbon dioxide and hydrogen gases in a bomb calorimeter causes the temperature of the calorimeter assembly to rise from...
-
A IRS auditor randomly selects 3 tax returns from 58 returns of which 6 contain errors. What is the probability that she selects none of those containing errors? No replacement.
-
Current Attempt in Progress Linda Bonita established Bonita Ltd. in mid-2022 as the sole shareholder. The accounts on June 30, 2023, the company's year end, just prior to preparing the required...
-
Calculate the total asset turnover if a company has net sales of $ 7 5 , 0 0 0 , cost of goods sold of $ 3 0 , 0 0 0 , and average total assets of $ 1 5 0 , 0 0 0
-
If I have a financial decision to buy a Tesla car, what are the values/calculations for variables such as PV, FV, CF (PMT), N, and I? What would be the opportunity cost? Is this fixed or could it...
-
Solve the inequality. - 217 5x12
-
Refer to Problem 5.3. Assume that asset L represents 60% of the portfolio and asset M is 40%. Calculate the average return and standard deviation of this portfolio's returns over the six-year period....
-
President Lee Coone has asked you to continue planning for an integrated corporate NDAS network. Ultimately, this network will link all the offices with the Tampa head office and become the...
-
For each of the major laws discussed in the text, indicate whether in the long run the law will promote or restrict competition. As a consumer without any financial interest in business, what is your...
-
Drawing on data in Exhibit 3-4, do you think that Romania would be an attractive market for a firm that produces home appliances? What about Finland? Discuss your reasons.
-
Discuss the value of gross domestic product and gross national income per capita as measures of market potential in international consumer markets. Refer to specific data in your answer.
-
Determine "Tyson Food "Company's firmographics, activities, and objectives. Then relate these differences to differences in the organizational cultures of the organizations. or provide detail of any...
-
Wimble Ltd had $400 million of debt outstanding at an interest rate of 9% and $600 million of equity (market value) outstanding. Wimble is subject to a 30% corporate tax rate. What is the amount of...
-
explain and comments thies pints Has existed for a long time One of the original fast-food establishments High standing Commonly recognized for its root beer. With high-quality cuisine Markets to...
Study smarter with the SolutionInn App