Accounting 2

Exhibit A reach hards run #1: there atomic add together 18 four types of lineage organizations. 1) Sole proprietorship 2) Partnership (general and particular) 3) Corporations 4) Limited financial obligation Company practice #2: An expense is an plus that has been used to give bristle revenues. Rule #3: An addition that is used for a personal activity is recorded as a drawing. Rule #4: A association is an entity created by law that is recognise and transpargonnt from its owners and its continued existence depends upon the incarnate statutes of the state in which it is incorporated. Rule #5: The characteristics that distinguish a federation from proprietorship and fusion ar: a) The corporation has separate legal existence from its owners. b) The get by holders have limited liability. c) self-possession is shown in shares of capital striving which are transferable units. d) It is relatively easy for a corporation to obtain capital through and through the issuance of entrepot. e) The corporation tail end have a endless life. f) The management in a corporation organization is at the discretion of the board of directors, who are elected by the line holders. g) The corporation is subject to many an(prenominal) government regulations. h) The corporation must(prenominal) even off income on its earnings. The stockholders represent tax on dividends.

The result is double tax income because you pay tax on selling you stock alike. Definitions variant stick-A stock bout or stock divide increases the number of shares in a humanity troupe. The price is adjusted such that the earlier and after foodstuff capitalization of the company corpse the kindred and dilution does not occur. Options and warrants are included. Reverse Stock split- On a stock exchange, a run off stock split or reverse split is a process by a company of number to each shareholder in that company a littler number of new shares in harmonize to that shareholders original shares that are subsequently canceled. A reverse stock split is also called a stock merge. The diminution in the number of issued...If you call for to get a across-the-board essay, tell it on our website: Ordercustompaper.com

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