HelpSeve & ExitYour three friends inherited an old dude ranch, and plan to turn it into a pasture for retired racehorses, Shady Rest wants to open its doors by next summer. After going to several small business seminars, your friends arecertain they need limited liability. The high-risk, labor-intensive business will require a sizeable investment including an air-conditioned barn, several fenced-in pastures, and loads of animal feed. You explain to them thatLLC ownership requires owners to pay self-employment taxes on the entire amount of earnings. You are fairly certain this is one tax liability your friends would like to avoid. You instead recommendMultiple Choicesole proprietorship.general partnership.an S corporation.a limited liability company.

A collection of people working towards a common or mutual goal is known as an Organization. There…

Answered: Help Seve & Exit Your three friends…

Foundations of Business (MindTap Course List)

6th Edition

ISBN:9781337386920

Author:William M. Pride, Robert J. Hughes, Jack R. Kapoor

Publisher:William M. Pride, Robert J. Hughes, Jack R. Kapoor

Chapter15: Using Management And Accounting Information

Section15.5D: Liabilities And Owners’ Equity

Problem 3CC

See similar textbooks

Similar questions

Joker stock has a sustainable growth rate of 8 percent, ROE of 14 percent, and dividends per share of $1.65. If the PE ratio is 19, what is the value of a share of stock?
Brenden and carmen are considering forming a partnership. they need your help as to how income and lossee should be divided in their partnership.What factors should be considered in determining the division of net income or losses?
1. Setting Up a Business Your friend, Olivia Graves, is going to start her own chocolate shop, called Chocolate-By-Design. Olivia is an expert candy maker and one of the city's top pastry chefs. Olivia has come to you for advice on what type of business Chocolate-By-Design should be-a sole proprietorship, partner- ship, or corporation. Create a report comparing the three different types of businesses, along with your recommendation for Chocolate-By-Design's business structure.
Cite 2 examples of Internal Financing for Sole Proprietorship, Partnership, and Corporation.
Breifly explain how and why profitablity will change if the profit remains the same, but the retainge is adjusted from 10% to 5%?
Tom and his dad combined their love of baseball with a business venture. They purchased a small cart and began selling memorabilia outside of their hometown stadium. Their first year went well, but the past two years have been quite a struggle. Due to poor economic conditions and the team's horrible record, ticket sales at the stadium are down, which has significantly hurt their sales as well. As a recent business graduate, you explain to them that Multiple Choice this type of business is always high risk because it is seasonal. social entrepreneurs are currently getting most of the attention. the business does not fill a sufficient need for most people. environmental circumstances are dynamic and tough to control.
Analyze the total cost of ownership.
1. Define risk retention and explain why a large corporation may be able to use this technique more effectively than a small company.
Miller Brothers Hardware paid an annual dividend of $1.15 per share last month. Today, the company announced that future dividends will be increasing by 2.6 percent annually. If you require a 12 percent rate of return, how much are you willing to pay to purchase one share of this stock today?
1. Indicate the parts that would benefit from a business plan?
Detail and discuss the expenses involved in opening for business and how the capital can be arranged.
Clearly explain in details, How an entrepreneur interprets failuer or set-backs?

SEE MORE QUESTIONS

Recommended textbooks for you

Foundations of Business (MindTap Course List)

Marketing

ISBN:

9781337386920

Author:

William M. Pride, Robert J. Hughes, Jack R. Kapoor

Publisher:

Cengage Learning

Foundations of Business - Standalone book (MindTa…

Marketing

ISBN:

9781285193946

Author:

William M. Pride, Robert J. Hughes, Jack R. Kapoor

Publisher:

Cengage Learning

Foundations of Business (MindTap Course List)

Marketing

ISBN:

9781337386920

Author:

William M. Pride, Robert J. Hughes, Jack R. Kapoor

Publisher:

Cengage Learning

Foundations of Business - Standalone book (MindTa…

Marketing

ISBN:

9781285193946

Author:

William M. Pride, Robert J. Hughes, Jack R. Kapoor

Publisher:

Cengage Learning

SEE MORE TEXTBOOKS