6. Intention to create legal relations are presumed in which of the following relationships.In the statements below Select TRUE or FALSE.TrueFalseHusband paying £30 per week for wife's upkeep with a verbal agreementWork colleagues who are part of a lottery syndicateParties to a commercial contractFriends who are going to meet for a dinner date

Legal relations between the two or more parties can be created with the presence of mutual…

Answered: 6. Intention to create legal relations…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

See similar textbooks

Similar questions

Where in the Current Account would the Share of Loss be found? A. Debit sideB. Credit sideC. Not found in the Current AccountD. Added to the partners salaries
In preparing the schedule of safe payments, it is assumed that: a. all partners are solvent b. All non-cash assets are considered worthless c. No liquidation expenses will be settled d. Unpaid liabilities will be settled by the partners own personal property
Partners who are not legally responsible for unpaid partnership debts. A partnership that protects innocent partners from malpractice or negligence claims resulting from the acts of another partner. A partnership that has two classes of partners - limited partners and general partners. Limited partners cannot lose more than the amount they invested in the partnership, and have no active role except as specified in the partnership agreement. The agreement between partners that sets the terms under which the affairs of the partnership are conducted. 1. General Partnership 2. Mutual Agency 3. Partnership An unincorporated association of tw or more persons to pursue a business for profit. 4. Unlimited Liability of Partners 5. Partnership Contract The legal relationship among partners whereby each partner can commit: or bind the partner- ship to any contract within the scope of the partnership's 6. Limited Partners 7. General Partners normal line of business. 8. Limited Liability…
Select for each of the following either "Yes", it is a guaranteed payment or "No", it is not.\\n\\n1. An amount paid to a partner for the performance of services. \\n2. An amount paid each year to the partners as a return on their investment in the partnership. \\n3. An amount paid that is comparable to a salary or interest payment. \\n4. Payments that are generally not deductible. \\n5. Payments that can result in a loss to the entity. \\n\\nb. Complete the statements below regarding the reporting of guaranteed payments on Form 1065 and its various schedules.\\n\\nGuaranteed payments are \\n on Form 1065. These amounts are also shown on \\n as an item that must be allocated to the partners for them to report as ordinary income. Therefore, in the partnership's "book-tax reconciliation" on \\n, the guaranteed payments are added to book income so that the two measures of the partnership's income can be equal.\\n\\nc. Complete the statement below regarding the reporting of guaranteed…
Which of the following statements is correct? O A. The liability of the partners for the debts of the partnership is limited to the amounts invested by each partner. O B. The lifespan of a partnership is perpetual. OC. A loan cannot be obtained in the name of the partnership. OD. A partnership business is liable for its own taxes on the profits earned.
Statement 1 – The retirement or withdrawal of a partner from a partnership requires termination of the business; Statement 2 – When a partner retires from a partnership, he or she is personally liable for any partnership debts incurred after the retirement. a. Only Statement 1 is correct b. Only Statement 2 is correct c. Both Statements are correct d. Both Statements are incorrect
2. D, E and F entered into a partnership to operate a restaurant business. When the restaurant had gone past break-even stage and started to garner considerable profits, F died. D and E continued the business without dissolving the partnership. They in fact opened a branch of the restaurant, incurring obligations in the process. Creditors started demanding for the payment of their obligations. Who are liable for the settlement of the partnership’s obligations?
Please do not give solution in image format ?.
QUESTION 1 Kumaresan and Cheng are watch repairmen who want to form a partnership and open a jewellery store. An attorney prepares their partnership agreement, which indicates that assets invested in the partnership will be recorded at their fair market value and that liabilities will be assumed at book value. The assets contributed by each partner and the liabilities assumed by the partnership are as the following: Assets Kumaresan Cheng Total Cash 40,000 30,000 70,000 Accounts receivable 52,000 20,000 72,000 Allowance for uncollectable receivable accounts 4,000 3,000 7,000 Supplies 1,000 500 1,500 Equipment 20,000 10,000 30,000 Liabilities Accounts payable 32,000 9,000 41,000 Prepare the journal entries necessary to record the original investments of Kumaresan and Cheng in the partnership.
The current account of a partner has been written up as follows. Current account Interest on capital £2,200 Balance B/d £625 Salary £1,225 Drawings £6,350 Balance c/d £12,800 Profit share £9,250 What is the correct balance carried down when the errors are corrected?
Mar From a partner's viewpoint, which of the following will have an unfavourable effect PF on the closing balance of the current account of a partner? Opening debit balance in the current account i) Interest on drawings i) Salaries iv) Drawings O A. I), ii), i) and iv) O B. i), ii) and iv) OC. i) and iv) only O D. i), ii) and iv)
What is the answer on questions 1 and 2?

SEE MORE QUESTIONS

Recommended textbooks for you

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS