In which of the following financial statements would a retained earnings account be found?
Select one:
a. Sole trader.
b. Company.
c. Partnership.
d. None of the options shown would contain a retained earnings account.
A partnership of three siblings would have how many capital accounts in the equity section of the balance sheet?
Select one:
a. One.
b. Two.
c. Three.
d. None.
Which of the following is an advantage of being a sole trader?
Select one:
a. The owner has total autonomy over business decisions.
b. The business is not a separate legal entity.
c. The owner has unlimited liability.
d. The business has limited life.
Partnerships should always have a Partnership Agreement in place to avoid potential disagreements.
Select one:
True
False
If a partner in a partnership decides to leave or retire from the business, the partnership can continue on with no disruption or administrative changes.
Select one:
True
False
In which of the following financial statements would a retained earnings account be found?
Select one:
a. Sole trader.
b. Company.
c. Partnership.
d. None of the options shown would contain a retained earnings account.
A partnership of three siblings would have how many capital accounts in the equity section of the balance sheet?
Select one:
a. One.
b. Two.
c. Three.
d. None.
Which of the following is an advantage of being a sole trader?
Select one:
a. The owner has total autonomy over business decisions.
b. The business is not a separate legal entity.
c. The owner has unlimited liability.
d. The business has limited life.
Partnerships should always have a Partnership Agreement in place to avoid potential disagreements.
Select one:
True
False
If a partner in a partnership decides to leave or retire from the business, the partnership can continue on with no disruption or administrative changes.
Select one:
True
False
Related questions
A partnership of attorneys in the St. Louis, Missouri, area hasthe following balance sheet accounts as of January 1, 2015: Assets$ 322,000 Liabilities $ 104,000 Athos, capital 86,000 Porthos,capital 76,000 Aramis, capital 56,000 According to the articles ofpartnership, Athos is to receive an allocation of 50 percent of allpartnership profits and losses while Porthos receives 30 percentand Aramis, 20 percent. The book value of each asset and liabilityshould be considered an accurate representation of fair value. Foreach of the following independent situations, prepare the journalentry or entries to be recorded by the partnership. (If no entry isrequired for a transaction/event, select "No journal entryrequired" in the first account field.)
| b. | All three of the present partners agree to sell 10 percent ofeach partnership interest to D'Artagnan for a total cash payment of$25,000. Each partner receives a negotiated portion of this amount.Goodwill is recorded as a result of the transaction.
|
