Income from a single proprietorship is distributed to the owner in the form of a dividend.
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A single proprietorship is a firm owned by two or much more individuals.
The income from a sole proprietorship is taxation on the owner"s an individual income tax return.
The owner"s legal responsibility is minimal to the amounts invested in the business.
2. Corporations space ________.
for-profit businesses only
exempt from legal liability
owned by shareholders
manufacturers and not service organizations
3. Disadvantages of the corporate kind of service organization include ________.
separation that ownership and also management
limited liability for shareholders
two or an ext of these
4. A manufacturing service ________.
provides solutions to the customers
buys goods for resale
makes the commodities it sells
will loan money to customers
5. Team Shirts, Inc. Payment $5,000 cash because that T-shirts indigenous a supplier. This transaction ________.
causes an increase in total assets
is a financing activity
is one investing activity
is an operation activity
6. Revenues incorporate ________.
the amount got from borrowing
the quantity earned from providing goods come customers
the lot earned from providing services to customers
two or much more of these
7. Team Shirts, Inc. Payment $600 because that insurance. This transaction ________.
causes total liabilities to increase and retained revenue to decrease
is an operating activity
is an investing activity
causes complete assets to increase and also total legal responsibility to increase
8. The explain of cash flows ________.
shows the transforms that took place in the lot of shareholders" equity throughout a period
is a perform of all the cash accumulated and cash paid during a period
is a summary of all of the profits minus all of the expenses for an audit period
describes the financial situation of a firm at a specific point in time
9. Wok N Roll, Inc. Reflects $300,000 that assets and $60,000 of shareholders" same on its balance sheet. Liabilities have to equal ________.
10. Team Shirts, Inc. Repays a $2,000 loan. This transaction ________.
causes complete liabilities come decrease
causes full assets to increase
causes complete shareholders" equity to increase
is an investing activity
11. On march 1, Team Shirts had actually a start balance in retained earnings of $1,200. Throughout March, Team Shirts paid $200 in dividends and also had net income of $2,000. The march 31 balance in retained earnings was ________.
12. Dividends room ________.
the same as expenses
owners" contribute to the firm
a palliation in maintained earnings
another term for each partner"s share of cooperation income
13. To compare balance sheets ________.
include gross profit and also operating income
report earnings for both the current and previous years
report financial ratios because that the current year which are contrasted to the former year"s
include balances of 2 consecutive years
14. Gaue won services carriers ________.
deal in services concerned money
lend money to consumer to pay for cars and also houses
sell insurance money to your customers
All that these room correct.
15. The owners of a corporation are referred to as ________.
two or more of these
16. I beg your pardon of the complying with is true about a corporation?
Each separation, personal, instance shareholder has individual legal duty for the corporation"s actions.
Managers that corporations deserve to be held responsible because that the plot of the corporation.
Corporations room exempt indigenous taxes; however, the shareholders are required to salary taxes on dividends received.
Corporations must have a minimum of 2 or an ext shareholders.
17. The stock industry is ________.
where the IRS is located
located in new York City
the general term provided to describe all stock exchanges
where businesses end up being incorporated
18. A business kind in i m sorry the partners room not personal liable for the malpractice of any type of of the various other partners is referred to as a ________.
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modified single proprietorship
limited liability partnership
19. Dell Inc."s circulation of earnings to owner is dubbed dividends. Dell must be a ________.