Related Accounting Q&A
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Q: When a business is organized as a corporation, which of thefollowing statements is true?a.…
A: When the business is organised as a corporation, then persons who acquire shares in the corporation…
Q: When a business is organized as a corporation, which of thefollowing statements is true?a.…
A: When the business is organised as a corporation, then persons who acquire shares in the corporation…
Q: Which one of the following statements is TRUE? a. Creditors have a claim on a firm's earning…
A: Charter is a legal document that contain details of the governance, structure, objectives and other…
Q: One of the main disadvantages of the corporate form is the a.double taxation of dividends…
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Q: What are some reasons why the value of a business other than a small one is generallymaximized when…
A: A corporation is a lawful entity working independent and separated from its proprietors. It can…
Q: Which of the following is not a characteristic of the commonstock of a large, publicly owned…
A: When a corporation issues stock to persons, then these are known as owners or shareholders of the…
Q: Which of the following statements is NOT CORRECT? When a corporation’s shares are owned by a few…
A: Shares are one of the primary sources of capital for a corporation. Shares can be traded using…
Q: Decide which of the following statements are true. I. In most circumstances, the owners of…
A: Answer : Option (a).One is true is correct.
Q: Which of the following is not primary reason why corporation invest in debt . Select one: a. they…
A: There are several reasons why corporate invest in debts or equity. They mainly includes: They have…
Q: One of the following characteristics of a corporation is deemed a disadvantage. Which is it? a.…
A: Corporation is a finance by the shareholders and handled by the management and employees. We can…
Q: a) and disadvantages of a small private business becoming a private corporation? What are the main…
A: Small private business: It is private business that is owned and maintain by a small number of…
Q: Which of the following statements is true? a. Restrictive covenants in debt agreements are an…
A: A business is an organization entirely made for earning profits or for fulfilling social needs by…
Q: Which of the following is a disadvantage of a corporation as a form of business organisation?…
A: A business can be formed in any type of business organization depending upon the scope and the type…
Q: Which of the following characteristics of a corporation limits a stockholders losses to the amount…
A: The stockholders will share loss of corporation.
Q: Which of the following is not a characteristic of a corporation? a.Corporations experience an ease…
A: corporation : it is a legal entity it is considered as separate person it has rights and…
Q: What areadvantges and disadvantages of the corporate form of business organazations?
A: Business organization: The organization which is established with the motive of earning profit is…
Q: Which statement is incorrect?* a. Book value per share is the claim of a shareholder in the net…
A: Company means a form of business where the share holder invest money in business in form of shares…
Q: Which statement is incorrect? a. Book value per share is the claim of a shareholder in the net…
A: A share is the division in the capital of the company. A shareholder is entitled to receive division…
Q: How does the audit of owners’ equity for a closely held corporationdiffer from that for a publicly…
A: Audit of owners equity for a closely held corporation is different from that of publicly held…
Q: Which of the following statements is CORRECT? One drawback of forming a corporation is that it…
A: The corporation is a category of business that is formed by the law of the country and is considered…
Q: A C-corporation has the following advantages EXCEPT limited liability avoiding double taxation…
A: Corporation- A corporation is a separate legal entity that is separate and distinct from its owners.…
Q: A C-corporation has the following advantages EXCEPT limited liability avoiding double taxation…
A: Corporation is a group of companies which are acting as a single entity.
Q: For what reason do corporations retain earnings in the business?
A: Retained earnings: Retained earnings are that portion of profits which are earned by a company but…
Q: the relative lack of government regulation is an advantage of corporate form of business true…
A: Corporate is the business organization distinct from its members having its own existence.
Q: (i) Which one of the following is not a right of a shareholder? A. To receive a dividend declared by…
A: 1) Following are right of a shareholder-
Q: In the absence of restrictive provisions, what are the basic rights of stockholders of a…
A: Corporation is a form of business organisation in which shareholders elect a board of directors for…
Q: .In the absence of restrictive provisions, what are the basic rights of stockholders of a…
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Q: Which of the following statements is NOT CORRECT? (A) Going public establishes a firm's true…
A: Going public refers to a private company's initial public offering (IPO), thus becoming a…
Q: A common problem for closely held corporations is: an abundance of agency problems.…
A: A closely held corporation is a company which has a limited number of shareholders. Its stock is…
Q: What does the law assume is the main Corporate Objective of any corporation? Group of answer…
A: Any corporation is formed which the objective of earning maximum profits for the owners of the…
Q: Which of the following statements is NOT CORRECT? "Going public" establishes a firm's true intrinsic…
A: Companies can raise funds from the public.
Q: Which characteristic of a corporation is a disadvantage? a. Mutual agency b. Double taxation c.…
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Q: Which characteristic of a corporation limits a stockholder's loss to the amount of his or her…
A: One of the type of legal structure of business operation that declares the business as a separate,…
Q: True or False? Dividends should be authorized by the shareholders of the corporation.
A: Dividend distribution is a method of distributing profit among the stockholder of the organization.…
Q: What are some reasons that a company might choose common stock as means of financing their business…
A: A company looking to diversify itself look for external financing be it issuing stocks or issuing…
Q: What are some reasons that a company might choose common stock as means of financing their business…
A: Common Stock Common stock represents the ownership of a corporation by its stockholders. It allows…
Q: corporation might have treasury stock listed on their financials for all the following reasons…
A: solution concept treasury stock means the stock that is bought back by the company When the stock is…
Q: True or false Corporations are legal entities separate from their owners and offer the…
A: 1. Corporation's main advantage is that the entity is separate from the owners. Hence the liability…
Q: Which of the following is a disadvantage of a company going public?
A: Company going public means company would be undertaking initial public offer. The benefit of going…
Q: Under IFRS 10, parent corporation is the entity that controls one or more entities. How does IFRS 10…
A: Under IFRS 10 ,Control exists when the investor has power, exposure to variable returns and the…
Q: In the United States, there are three legal categories of firms: sole proprietorships, partnerships,…
A: Corporation can generate funds in a shorter period of time and in great abundance. Hence, option D…