The best organizational structure for a new business owner who is concerned about the personal risk to their assets is a Limited Liability Corporation (LLC).
An LLC provides personal liability protection, meaning that if the business fails, the owner's personal assets are protected from creditors. An LLC also allows for pass-through taxation, meaning that the business's profits and losses are "passed-through" to the owners and taxed on the owners' personal income tax returns. This eliminates the need for double taxation, which is common for corporations.
An LLC provides business owners with more flexibility than a corporation. Business owners can determine their own rules for the LLC and are not required to comply with the same corporate formalities as corporations.
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Answer:
(A) Corporation or limited liability corporation
(I also took the test and got it right.)
Explanation:
A limited liability corporation helps to protect your personal assets because it prevents creditors from going after your personally owned assets protected by LLC executives. However, there is an exception for the general business assets.
In regards to corporations, the owner of the said corporation has protection for personal assets as well.
a guarantor who derives a personal benefit from the guaranty agreement has direct primary liability on the debt. a. true b. false
A guarantor who derives personal benefit from guaranty agreement has direct primary liability on the debt :False.
What is the meaning of guaranty agreement?Guaranty agreement is a two-party contract where the first party agrees to perform in event that second party fails to perform. Unlike surety, guarantor is only required to perform when the oblige has made every reasonable and legal effort to force principal's performance.
The party who makes guaranty is called the guarantor and an agreement of this nature is mostly used in real estate, insurance, or financial transactions.
A guaranty can be revoked if both the guarantor and the lender agree in writing. Some debts owed by the personal guarantors can be discharged in bankruptcy.
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a speculator purchases a put option on treasury bond futures with a september delivery date with an exercise price of 85-00. the option has a premium of 2-00. assume that the price of the futures contract decreases to 82-00 on the expiration date and the option is exercised at that point (if it is feasible). what is the net gain?
For instance, a conversion ratio of 0.8112 suggests that a bond is roughly worth 81% of a security with a 6% yield.
Bond futures prices may be determined using the formula Price = (Bond Futures Price x Conversion Factor) + Accrued Interest on the expiry date.
Bonds * [Max(0, Strike Price - Stock Price)] - Premium paid = Net Gain
For the 2-year and 3-year contracts, prices are reported in points per $2000, while for all other U.S. Treasury futures, they are quoted in points per $1000.
The fractional points are expressed in 1/32nd in line with the convention in US government bond market.
= 1,000 * [{max(0, 84 - 81)} - 1]
= 1,000 * [3 - 1]
= 1,000 * 2 = $2,000
So, Option "B" is correct.
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Full question ;
A speculator purchases a put option on treasury bond futures with a September delivery date with a strike price of 84-00. The option has a premium of 1-00. Assume that the price of the futures contract decreases to 81-00 on the expiration date and the option is exercised at that point (if feasible). What is the net gain?
A. $1000
B. $2000
C. $3000
D. $4000
what are two examples of economic forces within a company's general environment? multiple select question. marijuana legalization the unemployment rate bank interest rates hurricane katrina
The correct option is B and C. The two examples of economic forces within a company's general environment of The unemployment rate and bank interest rates.
financial forces are factors that include monetary and monetary policies, hobby charges, employment, inflation fee, demographic adjustments, political changes, electricity, security, and natural disasters. All of these have a right-away effect on how corporations produce and distribute their services or products.
Those elements decide a business enterprise’s volume of calls for its product and affect its advertising techniques and activities. The monetary device is made of 3 fundamental steps. the primary one being manufacturing and then there's a distribution of the produced items and then the closing step is the consumption of the identical. Now all that is viable because of two factors- Human useful resources and herbal resources.
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net marketing contribution reveals what is left after the manufacture and sale of the product to cover marketing, fixed costs and profit.T/F
This statement is False. Net marketing contribution does not reveal what is left after the manufacture of product and sale of the product to cover marketing, fixed costs and profit. It is a measure of the profit of a product or service from the marketing perspective.
It can be calculated by subtracting all the marketing costs from the total income generated by the product or service. It is a key measure of marketing effectiveness and is used to help understand and improve the contribution of marketing activities to the overall profitability of a business. Marketing involves a number of activities which include market research, product development, promotion, pricing, distribution, customer service, and more.
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what is the name of the law that requires insurers to disclose information gathering practices and where the information was obtained
The Privacy Protection Act is the name of the law that requires insurers to disclose information gathering practices and where the information was obtained.
The Privacy Protection Act needs insurers and insurance agents to supply candidates for insurance with info regarding what info is needed, what info are often distributed, and the way this may have an effect on the applicant's personal info.
Law is a set of rules that area unit created and area unit enforceable by social or governmental establishments to control behavior, with its precise definition a matter of long dialogue. it's been diversely delineated as a science and because the art of justice.
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which of the following statements concerning mrp system operation is correct? a. research has shown that many companies are transitioning from safety stock to safety capacity as a means of dealing with uncertain demand. b. a properly used mrp system allows for minimal levels of safety stock. c. additional safety lead time is a common strategy for reducing inventory levels. d. all of these choices are correct.
The statements concerning mrp system operation that is correct is b. a properly used mrp system allows for minimal levels of safety stock.
What is MRP in operation?A Material Requirements Planning (MRP) system can be described as one that accelerates the manufacturing production process by determining what raw materials, components as well as the subassemblies that are neede which could based on demand and bill of materials (BOM).
Hence , properly used mrp system allows for minimal levels of safety stock.
Therefore, option B is correct.
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phillipe established a revocable living trust naming himself, his spouse, and his two children as income beneficiaries, and his grandchildren as remainder beneficiaries. he funded the trust with $300,000. what is the value of the gift to this trust is:
The contribution to this trust has a value of zero dollars. No gifts are made to oneself when funding a revocable living trust, so this has no impact on gift taxes.
An living trust is what?A living trust is a legal arrangement created by a person (the grantor) to protect their property and decide how it will be transferred after their dying.
It's an estate planning technique that can help beneficiaries and family members avoid a protracted, visible, challenging, and oftentimes expensive probate process.
A contract is used to create a living trust. The terms of the Trust and the assets transferred by the Grantor to the Trust are clearly forth in the Agreement. The grantor appoints a trustee, who will, at a particular period, have control over those assets for the benefit of the beneficiaries.
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what are the essential differences among working capital loans, open credit lines, asset-based loans, term loans, revolving credit lines, interim financing, project loans, and acquisition loans?
The essential differences among working capital loans, open credit lines, asset-based loans, term loans, revolving credit lines, interim financing, project loans, and acquisition loans
What is loan?
A loan is when money is lent to another person with the understanding that it would be repaid, along with interest. Before agreeing to provide a borrower a loan, lenders will take into account the borrower's income, credit score, and degree of debt.
The essential differences among working capital loans, open credit lines, asset-based loans, term loans, revolving credit lines, interim financing, project loans, and acquisition loans.
working capital loans : A working capital loan is often designed for small and medium-sized businesses to meet their working capital requirements. Working capital is the cash or resources needed to maintain an enterprise's daily short-term trade activities.
open credit lines : A credit line that is still active allows you to borrow money in little amounts, pay it back, and borrow again. It differs from a standard loan in that you often have to pay interest on the borrowed amount while the line is open for borrowing.
ASSET-BASED LOAN - An asset-based loan is one that a business takes out while offering the lender one of its assets as security. A business typically takes out an asset-based loan when it is having cash flow issues.
TERM LOANS – A term loan is a loan from a bank to a business that must be repaid over a certain period of time in regular shifts. The length of the term loan payback period may be short or long.
REVOLVING CREDIT LINE - A revolving credit line is a type of loan where a bank agrees to lend someone a certain amount of money in exchange for the right to let them borrow more money if portion of the original loan is repaid.
Interim finance : is a method of securing funding on a temporary basis for a project. It may also be referred to as bridge finance or gap financing. People or businesses use this type of financing for a specific objective.
PROJECT LOANS: These loans are often given to business borrowers for capital expenditures such as the establishment of new, expanded manufacturing facilities, building, etc.
Acquisition Loans: refers to the act of obtaining or acquiring something. As a result, an acquisition loan is a loan issued to a corporation to buy a certain asset, acquire another business, or for other predetermined goals.
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The government reduces the corporate profit tax. As a result, corporate profits increase. This will _____ the non labor income of households, causing consumption to _____ and labor supply to ______
Answer:
this will increase the nonlabor income of households, causing consumption to increase and labor supply to increase
Explanation: due to a reduction in the corporate profits tax, a larger amount of salary will be paid to the nonlabor sector hence there is a rise in the income of nonlabor, as an increase in income their consumption will also increase, people, would like to work in different company and labor supply will also increase.
a company had net cash flows from operations of $143,000, cash flows from financing of $376,000, total cash flows of $569,000, and average total assets of $3,880,000. the cash flow on total assets ratio equals:
Option B is correct. A company had net cash flows from operations of $143,000, cash flows from financing of $376,000, Total cash flows of $569,000, and average total assets of $3,880,000. the cash flow on total assets ratio equals 4.1%.
Net cash flows from operations = 133000
Divide by Average total assets = 3280000
Cash flow on total assets ratio = 4.1%
Option B 4.1% is correct.
Cash float is a degree of ways awful lot cash a business introduced or spent in general over a time period. Coins go with the flow is generally damaged down into coins glide from working sports, making investment sports, and financing sports on the announcement of cash flows, a common economic assertion.
Cash drift from operations is comprised of fees made as part of the regular route of operations. Examples of these coins outflows are payroll, the fee of goods sold, hire, and utilities. Coins outflows can range considerably whilst business operations are fairly seasonal.
A coins flow declaration suggests the exact amount of a company's cash inflows and outflows over a time frame. The earnings announcement is the maximum commonplace financial announcement and shows an enterprise's revenues and total costs, along with noncash accounting, such as depreciation over a period of time.
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Complete Question:
A company had net cash flows from operations of $133,000, cash flows from the financing of $356,000, total cash flows of $539,000, and average total assets of $3,280,000. The cash flow on total assets ratio equals:
Multiple Choice
A). 16.4%.
B). 4.1%.
C). 3%.
D). 16.5%.
E). 24.7%
when one firm responds to a rival's cheating by cheating and to a rival's cooperation by cooperating, that firm is practicing a:
When is the case here, as more businesses enter an oligopolistic market, collaboration becomes more difficult as revenues. The correct response is D.why firms will not cooperate if they behave strategically.
Decline and businesses begin to act more egotistically. Companies will always be looking to cheat in order to make this profit, so in this scenario the cheating firm has an incentive to do so because the profit is so much bigger than sharing. The other businesses would respond by raising prices.
And they would all suffer the prisoner's dilemma is cited or recognised as a game theory example that tends to show why it can be challenging to organise and keep collaboration, even though it could be extremely beneficial to both parties.
Complete question:
when one firm responds to a rival's cheating by cheating and to a rival's cooperation by cooperating, that firm is practicing a
A. why firms have an incentive to cheat on agreements.
B. how oligopolists engage in implicit collusion under strategic situations.
C. how cooperation in strategic situations leads to the economically efficient market outcome.
D. why firms will not cooperate if they behave strategically.
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when a sport marketing and event management agency limits either the scope of services performed or the type of clients serviced, it is known as
when a sport marketing and event management agency limits either the scope of services performed or the type of clients serviced, it is known as a specialized agency.
What is Marketing?The goal of marketing is to pique the attention of potential customers or clients in your goods and services. Process is the definition's core word. Marketing entails distributing, selling, and researching your goods or services.This field of study focuses on the analysis of market and consumer behaviour as well as how businesses manage their commercial operations to recruit and keep customers by meeting their needs and wants and fostering brand loyalty.When asked to define marketing, people frequently give vague definitions such as selling or advertising. These responses are not incorrect, but they are merely a component of marketing.To learn more about Marketing refer to:
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if risk is to be analyzed in a qualitative way, place the following investment decisions in order from the lowest risk to the highest risk: a. new equipment b. new market c. repair of old machinery d. new product in a foreign market e. new product in a related market f. addition to a normal product line
The investment decision maker's primary duty is to allocate funding for the project or program.
What is the role of investment decision?Choosing and acquiring long-term and short-term assets for the business to invest its capital in is referred to as an investment decision.
Long term investments and short term investments are the two sorts. A long-term capital choice might be to purchase production-related equipment. It matters because it has an impact on the company's long-term profits. The amount of cash, inventories, etc., affects short-term investments.
The potential for profit and growth rate of the business are affected over the long term by investment decisions. The future function of the company will be influenced by these choices. A huge influx of money will be brought on by the right investing approach.
Therefore, that's correct order.
a. new equipment.
b. new market.
c. repair of old machinery.
d. new product in a foreign market.
e. new product in a related market.
f. addition to a normal product line.
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people in singapore and switzerland are inclined toward long-term planning. according to the globe project, such societies score high on future orientation. true false
It is true that people in Singapore and Switzerland are inclined toward long-term planning and according to the globe project, such societies score high on future orientation.
The GLOBE project is a world scientific research aimed toward making, testing, and corroboratory theories retailed to the connection between culture and social group, structure, and leadership effectiveness.project provides managers with an extra lens through that they will higher perceive a way to perform well in a world surroundings.
In scientific discipline and connected fields, future orientation is broadly speaking outlined because the extent to that a private cares the long run, anticipates future consequences, and plans ahead before acting. Being a future-oriented person permits you to arrange ahead.
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n what ways can an order getter influence consumer behaviors? (check all that apply.) multiple select question. convincing them to try products that they had not considered ensuring sales transactions are completed even when customers are hesitant to buy convincing regular customer to continue their relationship with the firm providing information that helps customers differentiate between similar products need help? review these concept resources.
An order getter can affect consumer behaviors by 1) giving consumers information that allows them to distinguish between identical items, and 2) persuading them to try things they had not previously considered.
Who is referred to as the customer?A person who makes a purchase from another business is referred to as a customer. Customers are crucial to businesses since without them they would not generate any income.
What three sorts of clients are there?1) Your existing clients. 2) Brand-New Customers are the most crucial since they have already committed to you. 3) Lost Customers. These are the customers who are now using your rivals' goods and services.
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ron landscaping's income statement reports net income of $75,700, which includes deductions for interest expense of $12,400 and income taxes of $36,100. its times interest earned is:
If ron landscaping's income statement reports net income of $75,700, which includes deductions for interest expense . its times interest earned is: 10.02 times.
How to find the interest earned?Using this formula to find the interest earned
Interest earned = (Net income + Deduction for interest expense + Income taxes) / Deduction for interest expense
Let plug in the formula
Interest earned = ($75,700 + $12,400 + $36,100)/$12,400
Interest earned = $124,200 / $12,400
Interest earned = 10.02 times
Therefore we can conclude that the Interest earned is 10.02 times.
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daily demand for a type of sandwich sold at doorred cafe (drc) is normally distributed with a mean of 65 and a standard deviation of 27. drc orders the sandwiches from a wholesaler (everyday morning before 5:30 am) at a wholesale price of $4 per sandwich and sells them at a retail price of $7 per sandwich. pursuant to the contract between drc and its wholesaler, the transportation cost is currently borne by the wholesaler. the wholesaler does not take back any unsold sandwiches. however, drc can sell any unsold inventory at a discounted price of $3 after 5:00 pm every day. a) how many sandwiches should drc order to maximize profit?
Given the information provided, DRC should order 65 sandwiches to maximize their profits.
This is because the demand for sandwiches is normally distributed with a mean of 65 and a standard deviation of 27. By ordering 65 sandwiches, the cafe will have enough to meet the average daily demand without having to order too many and risk having to sell them at a discounted price.
To maximize profit, Doored Cafe (DRC) should order the number of sandwiches that minimizes the expected cost of lost sales due to unsold inventory. To find the optimal order quantity, we can iterate through different order quantities and calculate the expected profit for each one.
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In some industries, not showing up for work
simply means certain tasks aren't completed,
but in a professional food service environment,
not showing up for work can mean the
difference between a working kitchen and
what kind of kitchen?
(1 point)
Not showing up for work in a professional food service environment can mean the difference between a functioning kitchen and a kitchen that is in chaos.
What do you mean by Professionalism?
Professionalism is the conduct, behavior, and attitude of a professional. It encompasses the standards of personal and business ethics, dress code, communication, and work ethic that an individual presents in the workplace. Professionalism also includes the ability to adapt to different situations, provide quality customer service, and maintain a positive attitude.
Not showing up for work cause delays in preparation, long wait times for customers, and a general decrease in quality as well as quantity. It can lead to employee frustration and customer dissatisfaction. Furthermore, if there is a lack of staff, the remaining staff may become overwhelmed, leading to potential safety hazards and risks.
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Answer:
a. one that cannot function
Explanation:
a broker who is not a realtor wishes to use written contracts to established her agency agreement with buyer-client. the broker should
A broker who is not a realtor desires to establish her agency relationships with buyer-clients through written contracts. A Texas lawyer should draft a contract form at the broker's request.
If a buyer ultimately submits an offer on a property with a different agency, a "buyer's representation agreement" or "buyer's agent agreement" might assure that at least some money is made to the agent. The may occur after the initial realtor has expended a significant amount of time, energy, and money assisting that buyer in obtaining the home of their desires. Having an exclusive contract with a real estate agent in place can be advantageous for everyone involved, especially if you utilize these suggestions to negotiate the conditions to your best advantage.
Your expectations and your mutual understanding can be stated in black and white. The buyer might then phone their agent in a fit of ecstasy to announce they have made up their minds about a property they had previously viewed with them and have signed a contract to buy the home there and then, without consulting or getting any help from their agent. This is fantastic for the buyer. For the agent who has put in months of labor without pay, it's not so fantastic.
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which of the following would cause an increase in aggregate demand? i. congress cuts personal income taxes. ii. the degree of excess capacity increases. iii. the quantity demanded of imports increases.
The correct option is A, Congress cuts personal income taxes causing an increase in aggregate demand.
Aggregate demand is an economic concept used to describe the total demand for goods and services in an economy at a given time. It is the sum of all the individual demands for goods and services in the economy, including both consumer and business spending. Aggregate demand is an important concept in macroeconomics, as it is an important determinant of a nation’s overall economic health.
When aggregate demand is high, it indicates that the economy is doing well and that people are spending money. When aggregate demand is low, it indicates that people are not spending as much money, which can lead to an economic downturn. Aggregate demand is affected by a number of factors, including changes in the money supply, interest rates, and government spending.
It is also affected by changes in consumer confidence, which can lead to changes in consumer spending. In order to maintain a healthy economy, it is important for aggregate demand to be kept in balance with aggregate supply.
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Performing Arts Pathway Jarrett will often work hand-in-hand with the Performing Arts pathway. He might need to hire a band for a wedding at his venue or a magician for a work holiday party. What other times might an event planner work with someone in the Performing Arts pathway?
Other times might an event planner work with someone in the Performing Arts pathway in school, children's hospitals, couple functions, etc.
What are Performing Arts pathways?Work in the invention, development, and production of theatrical and musical acts is included in the performing arts route. includes personnel at studios, performance venues, and practice spaces. Music, dance, and theatre make up the three primary performing arts subcategories.
In performing arts, artists utilize their vocal abilities, body language, gestures, and emotions to portray a narrative, their thoughts, and their feelings in a unique way. These are the professions that call for exceptionally competent individuals. This industry is least likely to be impacted by automation and technological improvements, according to a BBC investigation.
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sports teams travel together. they compete against other teams. this increases their a.diversity. b.norm generalization. c.role structure. d.cohesiveness. e.informal leadership.
Sports teams travel together. they compete against other teams. this increases their role structure.
Hence, Option C is correct.
The purpose of organizational structure is to make it apparent who is responsible for what and where each individual stands in the hierarchy of authority. A director of an employee may answer to a vice president, who answers to the chief executive officer, who answers to the board of directors or the company's owners.A high school football player, for instance, simultaneously fulfills the responsibilities of student, athlete, classmate, etc. "A person in the role of a parent is supposed to care for their child and safeguard them from danger," is another illustration of a role.To know more about Role structure here
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which step of the policy evaluation process would ask you to determine if a policy helps to ensure domestic tranquility?
The identify the problem is the step of the policy evaluation process would ask you to determine if a policy helps to ensure domestic tranquility.
The policy evaluation is a method of solving the route cause of the problem by the collecting information through creating policy and data to analyze where the problem comes from and how to solve that problem.
The policy evaluation is also known as program evaluation. The policy evaluation is created for the citizens who the can change the thins according to their needs and can not buy the things like school books, medicines etc.
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five friends go to a restaurant. they talk about how to divide the bill. under which of the following possible arrangements would you expect the group to spend the least? answer s: a. everyone pays only for what he eats (plus the prorate share of tax and tip) b. they divide the bill in five equal shares c. the riches person pays d. it is impossible to tell
Everybody should pay for their food, tax, and tips if we wish to calculate how much should be paid out the least. This is the best approach to do so.
Bill, what is it?An financial document that details the price a customer must pay for a good or service is referred to as a "bill." It is also regarded as a reminder for payments. First before payment is delivered, a bill is issued, and it is utilized once and right away.
Which is better, bills or invoices?You might receive an invoice from a business for services rendered, but when you get it, you only consider it to be a bill. A bill is a straightforward description of what is currently due, although the word "invoice" can suggest that payment conditions, such as "NET-30 days," have been negotiated.
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kendra's company has a plant in thailand that supplies motor parts to another one of the company's plants in indonesia. what would be used to price the motor parts shipped to the subsidiary?
In the example of Kendra's company, a transfer price would be used to price the motor parts shipped from the Thailand plant to the Indonesia plant.
The transfer price is the price that is used for the transfer of goods or services between two subsidiaries of the same company. The transfer price should reflect the cost of the production and shipping of the motor parts as well as a reasonable profit for the company.
The transfer price should be based on the market conditions of the two countries and should not be set too high, as this could lead to a loss of profits for the company. For example, if the cost of production and shipping of the motor parts is higher in Thailand than in Indonesia, the transfer price should be set higher to reflect this difference. The transfer price should also take into account any taxes or tariffs that would be incurred on the transfer of the goods.
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you are hiring a manager to run your service operations for the southern region. based upon what we know about being able to adapt several different approaches in leadership, what is the best way to hire the manager to have the highest probability of success?
A hiring manger should hire a candidate that can adjust many Leadership behaviors based on situation and possess the traits of a follower.
Long-term benefit to the company comes from a candidate who can adjust to organizational changes. In a service firm, a person would also be prompt in making suggestions and fixing operational problems that arise during the manufacturing process.
In order to become a more successful leader, leaders have to understand where they are currently.
The 5 most common leadership styles are:
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Monopolists are able to set the price for their good. nevertheless, monopolists face a tradeoff in raising price because a higher price
a. True
b. False
True, Monopolists are able to set the price for their good. nevertheless, monopolists face a tradeoff in raising price because a higher price is true.
What is tradeoff ?A tradeoff is a situation in which one thing must be sacrificed in order to gain something else. This can be applied in many different contexts, such as economics and business decisions. In economics, a tradeoff might mean sacrificing short-term gains in order to receive long-term benefits. In business decisions, a tradeoff might mean sacrificing customer satisfaction in order to save money and increase profits. Tradeoffs are a necessary part of decision making, often requiring a balancing act between various factors. The key is to weigh the pros and cons of each option carefully and make an informed decision based on what is best for your situation.
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One consideration in choosing a marketing channel is profitability, which is determined by the margins earned for each channel member and for the channel as a whole. Based on this information, which of the following statements would be most accurate?- The more responsibilities a channel member takes in terms of distribution, advertising, and selling expenses, the greater the potential for manufacturer profitability.- The more responsibilities the manufacturer assumes relative to its channel members, the greater the potential for profitability.- The extent to which channel members share costs determines the margins received by each member and by the channel as a whole.- While channel members can increase profitability by taking on distribution and selling expenses, advertising expenses should always remain with the manufacturer if a firm is looking for the greatest profitability.- Profitability is not related to the length or nature of the distribution chain but determined by the manufacturer.
Option (c), The margins that each channel member and the channel as a whole obtain depend on how much they share costs.
How much money does the channel of distribution make?The channel margin is, to put it simply, the difference between what the client pays and what the supplier must pay at that particular point in the distribution channel. Channel margins can be computed as a percentage of the selling price or as a per-unit sum.
What four types of distribution are used in supply chain management?There are four main distribution channels that a business can choose from when deciding how to advertise its products most effectively. Direct sales, wholesale, brokerage, and dual distribution are some of the options. Choose your distribution partners for your supply chain carefully to follow best practices.
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jasmine is the director of marketing for a chain of clothing stores. she has been given a set budget and needs to drive as many potential customers to her website as possible. which automated bidding strategy should she use in her campaign? maximize conversions
Jasmine, who is in charge of marketing, should utilize the "Maximize Click" bidding approach if she has a certain budget in order to attract as many potential consumers as she can to the website in her brand of apparel stores.
What is the short definition of a budget?It budget is an financial plan that projects future earnings and costs. A strategy, expressed simply, predicts future expenditures and savings in addition to anticipated revenue and expenses.
What makes it a budget?Budget comes derived the " Old French word bougette, which means "small sack." The British treasurer of the Exchequer is referred to as "opening" his budget, or container of records and accounting, when he presents his yearly financial statement.
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presented below is selected information for sheridan company. answer the questions asked about each of the factual situations. (do not leave any answer field blank. enter 0 for amounts.) 1. sheridan purchased a patent from vania co. for $1,160,000 on january 1, 2018. the patent is being amortized over its remaining legal life of 10 years, expiring on january 1, 2028. during 2020, sheridan determined that the economic benefits of the patent would not last longer than 6 years from the date of acquisition. what amount should be reported in the balance sheet for the patent, net of accumulated amortization, at december 31, 2020?
At December 31, 2020, the amount that should be reported in the balance sheet for the patent, net of accumulated amortization, is $576,000.
This amount is calculated by taking the original patent cost of $1,160,000, multiplied by the remaining legal life of the patent (6 years) and then divided by the total legal life of the patent (10 years). ($1,160,000 x 6/10 = $576,000).
In return for publishing an enabling disclosure of the invention, the owner of that patent is granted the legal right to prevent others from creating, using, or selling the invention for a a period of time. In the majority of nations, patent rights are governed by private law, and in order to enforce them, the patent holder is required to file a lawsuit against a third party who violates the patent.
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