Propositions essentially translates this market offering into a proclamation of the benefits a customer will derive (Barringer‚ 2010). References Business Organization‚ sole proprietorship‚ limited partnership‚ corporation‚ business law. (n.d.). How to Start a Business‚ Write a Business Plan & Finance a Business. Retrieved from http://www.myownbusiness.org/s4 Perez‚ William (n.d.). Tax Implications in
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projects with lower expected returns. Stockholders are generally more willing than bondholders to have managers invest in risky projects with high potential returns as opposed to safer projects with lower expected returns. Relative to sole proprietorships‚ corporations generally face fewer regulations‚ and this makes it easier for corporations to raise capital. 2 points Question 2 1. Which of the following is a primary market transaction? Answer You sell 200 shares of IBM stock
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Financing decisions also involve dividend decisions because payment of dividends reduces the internally generated funds that are available. (a) A sole proprietorship is a business owned by one person. Many small service businesses‚ retail stores and professional practices are operated as sole proprietorships. Although the owner of a sole proprietorship is legally liable for its debts‚ the business should be regarded by the proprietor as a separate entity. (b) A partnership is a business owned by
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of the business for yourself. An overview of the four basic legal forms of organization: Sole Proprietorship; Partnerships; Corporations and Limited Liability Company follows. Sole Proprietorship The vast majority of small businesses start out as sole proprietorships. These firms are owned by one person‚ usually the individual who has day-to-day responsibility for running the business. Sole proprietorships own all the assets of the business and the profits generated by it. They also assume complete
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Introduction The McGee Cake Company has been in business since early 2005. The company is a sole proprietorship. They produce a variety of full line cakes and other cake including cheesecake‚ lemon pound cake‚ and double-iced‚ double-chocolate cake. In the past several years‚ the company has experienced sales increases due to features in magazines and this led to the company receiving orders from all over the world. Doc and Lyn McGee both had regular jobs and formed the company mainly due to outside
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are different types of business structures and they are sole proprietorship‚ partnership and Corporation. So therefore when starting a business one has several options in the type of business structure they can use. A sole proprietorship is known to be one of the simplest structure there is and is inexpensive to start off. It is about 75 percent of all business in the United States. The owner has full control over the business and is has sole rights of the profit the business acquire. All business
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It is generally less expensive to form a corporation than a proprietorship because‚ with a proprietorship‚ extensive legal documents are required. 4. If a partnership goes bankrupt‚ each partner is exposed to liabilities only up to the amount of his or her investment in the business. 5. Corporations face fewer regulations than sole proprietorships. 3. Which of the following statements is CORRECT? Student Response 1. Managers who face
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your business from different types of business structures such as sole proprietorship‚ partnership and corporation. This week you will see a brief explanation of each as well as advantages and disadvantage of each of the business structures. Personal Business Structure Sole proprietorships are the simplest of all legal structures but they also lack many of the legal and financial protections of other business. The advantages of a sole proprietor are that owners not pay any taxes that are separate
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business such as sole proprietorship‚ partnership‚ limited liability partnership‚ Limited Liability Company‚ S corporation‚ franchise‚ and corporate form‚ the scenarios of each form of business is listed below. In addition‚ the scenarios will allow each individual to further understand the worth of the individual business forms. Sole proprietorship is the most common form of business‚ instating this proprietorships are operated and owned by one person. The reason proprietorship is so common is
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Chapter 12 Torts The Basis of Tort 1. The Purpose of Tort Law a. Damages Available in Tort Actions Compensatory damages (including special damages and general damages) : compensate or reimburse the plaintiff for actual losses Special damages: compensate the plaintiff for quantifiable monetary losses. General damages: compensate individuals (not companies) for the nonmonetary aspects of the harm suffered‚ such as pain and suffering. b. Punitive Damages: Only when the defendant’s conduct was particularly
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