Explain the formation of a general partnership.
What will be an ideal response?
A business must meet four criteria to qualify as a general partnership. It must be (1) an association of two or more persons, (2) carrying on a business, (3) as co-owners, (4) for profit. A general partnership is a voluntary association of two or more persons. All partners must agree to the participation of each co-partner. A business-a trade, an occupation, or a profession-must be carried on. The organization or venture must have a profit motive in order to qualify as a partnership, even though the business does not actually have to make a profit. Receipt of a share of business profits is prima facie evidence of a general partnership because nonpartners usually are not given the right to share in a business's profits.
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On January 2, 2012, Golden Corporation sold $800,000 of bonds for $785,000. The bonds will mature in 10 years and pay interest annually on December 31. Golden properly recorded the payment of interest and amortization of the discount using the effective interest method. Which of the following statements is true about the carrying value of the bonds and/or the unamortized discount at the end of
2012? A) The carrying value will be less than $785,000. B) The carrying value will be $785,000. C) The carrying value will be greater than $785,000. D) The unamortized premium will be more than $15,000.
Which of the following is associated with the need for cultural sensitivity by a company?
a. dealing with gender differences in labor practices b. promoting products that can be sold to consumers c. hiring women for certain factory jobs in some countries d. dealing with product specifications mandated by the local government
Stella goes to Lakeview Department Store to look for clothes. The store is in the process of remodeling, and there is a lot of clutter in the aisle. Stella trips over the clutter and breaks her leg. What standard of care does the store have toward Stella under the circumstances?
A) None, because she came to the store voluntarily. B) The store owes her a duty of only ordinary care, because she is a trespasser. C) Because she is a licensee, the store must warn her of hazards of which the store knows but which Stella is not likely to discover. D) Because Stella is a business visitor, the store must exercise reasonable care to protect her against dangerous conditions she is unlikely to discover.
Independence is best provided for IT security by placing it within the IT department
Indicate whether the statement is true or false.