All of the Big 4 accounting firms changed their ownership form from a general partnership to...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
All of the Big 4 accounting firms changed their ownership form from a general partnership to a limited liability partnership. For each of following statements, select "Yes" if it describes a reason for the ownership change from a general partnership to a limited liability partnership; otherwise select "No". • A general partnership is subject to taxation, whereas a limited liability partnership is not. • Under the general partnership form, there is unlimited liability with the personal assets of each of the firm partners being subject to the claims of the partnership creditors. • Under a LLP, the only partners whose personal assets are at risk to pay a judgment are those actually involved in the negligence or wrongdoing at issue. • The limited liability partnership form provides limited liability to all the partners. Their liability is limited to the amount invested plus any additional amount they agreed to invest. All of the Big 4 accounting firms changed their ownership form from a general partnership to a limited liability partnership. For each of following statements, select "Yes" if it describes a reason for the ownership change from a general partnership to a limited liability partnership; otherwise select "No". • A general partnership is subject to taxation, whereas a limited liability partnership is not. • Under the general partnership form, there is unlimited liability with the personal assets of each of the firm partners being subject to the claims of the partnership creditors. • Under a LLP, the only partners whose personal assets are at risk to pay a judgment are those actually involved in the negligence or wrongdoing at issue. • The limited liability partnership form provides limited liability to all the partners. Their liability is limited to the amount invested plus any additional amount they agreed to invest.
Expert Answer:
Related Book For
South Western Federal Taxation 2016 Corporations Partnerships Estates and Trusts
ISBN: 9781305399884
39th edition
Authors: James Boyd, William Hoffman, Raabe, David Maloney, Young
Posted Date:
Students also viewed these business communication questions
-
All of the Big 4 accounting firms changed their ownership form from a general partnership to a limited liability partnership. Discuss the legal and tax ramifications of this modification of ownership...
-
The Big 4 accounting firms (Deloitte, EY, KPMG, and PwC) dominate the audit and tax market in the United States. What chart would you use to show which accounting firm dominates in each state in...
-
Steve and Erin started a general partnership to do landscaping and sell gardening supplies. Both will work in the business full time and need to withdraw approximately $40,000 a year each to live on....
-
Implement the method contains() for HashST.
-
The following plot shows the potential energy of two Cl atoms as a function of the distance between them. (a) To what does energy of zero correspond in this diagram? (b) According to the valence-bond...
-
Why is the section devoted to reasons the most important part of a negative message, and which five factors ensure the effectiveness of the reasons given?
-
Chemical and mechanical engineers often need to know the vapor pressure of water at various temperatures (the "infamous" steam tables can be used for this). Below are data on the vapor pressure of...
-
Consider a point course of light. How would the intensity of light vary with distance from the source according to? (a) Wave theory (b) Particle (photon) theory? Would this help to distinguish the...
-
Write a function sum_list(1) that takes as input a list 1 and outputs another list q of the same length as 1 and that contains at position j the sum of all the elements from positions 0, 1, ...j,...
-
Repeat problem 6, but close the position on September 20. Use the spreadsheet to find the profits for the possible stock prices on September 20. Generate a graph and use it to identify the...
-
Three Spirit Think it's time for nights out to change? Cheers to that. Introducing a new kind of nightlife beverage crafted from ancient remedy and modern alchemy. Three Spirit's Social Elixir offers...
-
3. During the first half of 1987, the average first mortgage granted by U.S, credit unions was $52.026. Assuming a normal distribution and a standard deviation of = $10,000, what proportion of the...
-
Check out your business' presence on social media using: google, social-searcher and buzzsumo: Choosen Brand : Apple 1. Is your brand being discussed? What are people saying? Who is saying it,...
-
You are a Senior Vice President in the Magnificent Corporation. Your office is located at 555 Alabaster Drive, Port St. Lucie, Florida 30210. Create a document with this information and your company...
-
Thinking about identity groups. What are the defining characteristics of identity groups. What defines one as a person, or as a member of the group How does membership in a group influences...
-
Mateo is trying to remember the contents of a message he received from his boss last week. He thinks he received the message in an email, but he isn't sure. He can only remember a few key phrases....
-
Has Gap Co acquired another company? If so, what was the acquisition premium (the difference between the price per share offered and the market price per share just before the deal was announced;...
-
The tractor is used to lift the 150-kg load B with the 24-mlong rope, boom, and pulley system. If the tractor travels to the right at a constant speed of 4 m/s, determine the tension in the rope when...
-
In determining the value of goodwill attributable to stock in a closely held corporation, comment on the following factors. a. The corporations average profit figure includes large gains from the...
-
Assume the same facts as in Problem 41 with the following modifications. The bonds were issued by the Houston (TX) Independent School District. The dividend record date was September 3 (not September...
-
Rebecca holds 100 shares of Gotchas stock that she purchased for $1,000 several years ago. In a merger of Gotchas into Solis, Inc., Rebecca exchanges her 100 Gotchas shares for 1,000 Solis shares and...
-
In the summer of 2015, Stephen Kuhl and Kabeer Chopra made their way to Philadelphia to prepare for business school. It was their first semester in the Wharton MBA program. They were both in an...
-
Juni Learning, the focal firm of the You Be the VC 11.2 feature, provides kids 7 to 18 years old online STEM courses in coding, storytelling, investing, and entrepreneurship. Skip ahead to read the...
-
As noted in this text, the Maker Movement refers to the renewed interest in the United States and elsewhere for people to invent, design, and make things in their homes or in collaborative...
Study smarter with the SolutionInn App