they have already perfected the design, the husband and wife team created a prototype and designated a lawyer to file for design and utility patent applications. The next step therefore is registering the company and identifying the business entity type that would insulate her and her family from personal liability for debts of the business, or liability in the event of injury caused by the widget. Other important information for consideration is the presence of additional potential investors, including
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Scenario After reading through the Restaurant and Bar business scenario and reading the questions that were provided for this assignment it was determined that this business entity would be considered a general partnership between Lou, Jose, and Miriam. This being said this partnership is based on Miriam taking most of the financial risk from being the primary financial investor. This type of business also pays quite a bit of taxes due to the nature of products sold. These various taxes are paid
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agent acts on the principal’s behalf in entering K’s etc…. 1. if done within the scope of the agency (enter into K, etc…) anything done by the agent is binding on the principal 1. principal may be liable in K, tort, property, etc…. (Vicarious liability) ii. question of agency is a factual matter to be determined as a “matter of fact” b. Res 3d Agency 1.01 (definition of “Agency”) i. Agency relationship created when (First Question to ask when dealing with agency) 1. The principal manifests
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hierarchy is important because not all accounting transactions and the method for reporting these transactions are covered by the three major sources of GAAP. Accountants may need to do further research to find the best accounting procedure for their application. Effective Accounting Information Internal and external users utilize accounting information in their decision-making processes. For the accounting information to be useful and
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Chapter 5 5-1. The corporation is the most common form of business ownership. Answer: False LG: 1/LL: 1 Page: 142 5-2. The three major forms of business ownership in the U.S. are sole proprietorships, partnerships, and corporations. Answer: True LG: 1/LL: 1 Page: 142 5-4. Once a business is established, it's almost impossible to change from one form of business ownership to another. Answer: False LG: 1/LL: 1 Page: 142
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To Build or Buy Strayer University Course: BUS 402 January 29, 2012 My business strategy is to purchase an existing tea and coffee shop which is located a mile away from where I work in Ashburn, Virginia, the business is call Sakasa tea and coffee. Sakasa is located next door to George Washington University and directly across is a chick fil a and a small hotel also it is right off a major highway so it has a great location. The reason the owner is selling is because of health issue and as
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we will call Jim, never anticipated his business would be more than a sole proprietorship. As his business grows, so does his liability as well as his taxes. It is time for Jim to change entities. His best bet would be to form an LLC. “The advantages of forming an LLC are that the members are afforded limited liability and have pass-through taxes similar to a partnership.” (Gaebler, n.d) History Jim has always loved fireworks. He loved taking one insignificant firework and combining it with other
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PARTNERSHIP AND SUBCHAPTER S TAX OUTLINE SPRING 2009 VICE PRESIDENT, ASSOCIATE DEAN, AND PROFESSOR BRUCE A. MCGOVERN Stephen A. Lind et al, Fundamentals of Partnership Taxation: Cases and Materials (8th ed. 2008) Selected Federal Taxation Statutes and Regulations (Daniel J. Lathrope ed., 2009 ed. 2008) Laura E. Cunningham & Noël B. Cunningham, The Logic of Subchapter K: A Conceptual Guide to the Taxation of Partnerships (3d ed. 2006) PART 1: AN OVERVIEW OF THE TAXATION OF PARTNERSHIPS AND
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Principles of Business Credit Chapter 1 - Credit: must involve exchange of values - 5 C’s of credit: character, capacity, capital, collateral, conditions - credit ( can be private or public - Credit Process: o First goes through a buyer who wants to buy a service or product o operating cycle: activities company goes through to produce and sell its goods and services o production stage: when material is converted into goods o manufacturer
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......... 3 MISCELLANEOUS TAX................................................................................................... 5 INDIVIDUAL ESTIMATED TAX ..................................................................................... 6 PARTNERSHIPS AND LLC’s .......................................................................................... 8 SUBCHAPTER S CORPORATIONS ............................................................................. 10 CORPORATION INCOME TAX ..........
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