While attending a recent dinner party, Sally and Lily were talking to a friend who was surprised that they are in a partnership structure. They suggest that their accountant has advised that a company structure would be better and recommend that Sally and Lily speak to their accountant to ask about operating the Healthy Snacks business through a company structure (note, you will not be asked to determine any tax gains/losses on changing the structure). As their accountant, you need to advise them on tax implications, ease of business, legal liability and more on this.

Understanding Business
12th Edition
ISBN:9781259929434
Author:William Nickels
Publisher:William Nickels
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
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While attending a recent dinner party, Sally
and Lily were talking to a friend who was
surprised that they are in a partnership
structure. They suggest that their
accountant has advised that a company
structure would be better and recommend
that Sally and Lily speak to their
accountant to ask about operating the
Healthy Snacks business through a
company structure (note, you will not be
asked to determine any tax gains/losses on
changing the structure). As their
accountant, you need to advise them on
tax implications, ease of business, legal
liability and more on this.
Transcribed Image Text:While attending a recent dinner party, Sally and Lily were talking to a friend who was surprised that they are in a partnership structure. They suggest that their accountant has advised that a company structure would be better and recommend that Sally and Lily speak to their accountant to ask about operating the Healthy Snacks business through a company structure (note, you will not be asked to determine any tax gains/losses on changing the structure). As their accountant, you need to advise them on tax implications, ease of business, legal liability and more on this.
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