Explain the primary advantages of corporate form of business.

Question

Want to see more full solutions like this?

Answer 1

Question

Chapter 11, Problem 1Q

To determine

Explain the primary advantages of corporate form of business.

Expert Solution & Answer

Explanation of Solution

Corporation: A business concern where there is a separate legal entity and are owned by stockholders are classified as corporation. Transfer of ownership and raising funds are easy in this form of organization. No personal legal liability exists among the shareholders.

The primary advantages of corporate form of business are as follows:

Transferability of ownership is easy in the corporate form of business.
Stockholders has limited liability, and they are not liable for corporation’s debts.
Investors can purchase or sale their shares in small quantities.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

General accounting

What is the project expected unit sales? Accounting question

How much does he need before tax of this financial accounting question?

Answer 2

Question

Chapter 11, Problem 1Q

To determine

Explain the primary advantages of corporate form of business.

Expert Solution & Answer

Explanation of Solution

Corporation: A business concern where there is a separate legal entity and are owned by stockholders are classified as corporation. Transfer of ownership and raising funds are easy in this form of organization. No personal legal liability exists among the shareholders.

The primary advantages of corporate form of business are as follows:

Transferability of ownership is easy in the corporate form of business.
Stockholders has limited liability, and they are not liable for corporation’s debts.
Investors can purchase or sale their shares in small quantities.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Question

Chapter 11, Problem 1Q

To determine

Explain the primary advantages of corporate form of business.

Expert Solution & Answer

Explanation of Solution

Corporation: A business concern where there is a separate legal entity and are owned by stockholders are classified as corporation. Transfer of ownership and raising funds are easy in this form of organization. No personal legal liability exists among the shareholders.

The primary advantages of corporate form of business are as follows:

Transferability of ownership is easy in the corporate form of business.
Stockholders has limited liability, and they are not liable for corporation’s debts.
Investors can purchase or sale their shares in small quantities.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Chapter 11, Problem 1Q

To determine

Explain the primary advantages of corporate form of business.

Expert Solution & Answer

Explanation of Solution

Corporation: A business concern where there is a separate legal entity and are owned by stockholders are classified as corporation. Transfer of ownership and raising funds are easy in this form of organization. No personal legal liability exists among the shareholders.

The primary advantages of corporate form of business are as follows:

Transferability of ownership is easy in the corporate form of business.
Stockholders has limited liability, and they are not liable for corporation’s debts.
Investors can purchase or sale their shares in small quantities.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 11, Problem 1Q

To determine

Explain the primary advantages of corporate form of business.

Expert Solution & Answer

Explanation of Solution

Corporation: A business concern where there is a separate legal entity and are owned by stockholders are classified as corporation. Transfer of ownership and raising funds are easy in this form of organization. No personal legal liability exists among the shareholders.

The primary advantages of corporate form of business are as follows:

Transferability of ownership is easy in the corporate form of business.
Stockholders has limited liability, and they are not liable for corporation’s debts.
Investors can purchase or sale their shares in small quantities.

Answer 6

Chapter 11, Problem 1Q

To determine

Explain the primary advantages of corporate form of business.

Expert Solution & Answer

Explanation of Solution

Corporation: A business concern where there is a separate legal entity and are owned by stockholders are classified as corporation. Transfer of ownership and raising funds are easy in this form of organization. No personal legal liability exists among the shareholders.

The primary advantages of corporate form of business are as follows:

Transferability of ownership is easy in the corporate form of business.
Stockholders has limited liability, and they are not liable for corporation’s debts.
Investors can purchase or sale their shares in small quantities.

Answer 7

Chapter 11, Problem 1Q

To determine

Explain the primary advantages of corporate form of business.

Answer 8

Expert Solution & Answer

Explanation of Solution

Corporation: A business concern where there is a separate legal entity and are owned by stockholders are classified as corporation. Transfer of ownership and raising funds are easy in this form of organization. No personal legal liability exists among the shareholders.

The primary advantages of corporate form of business are as follows:

Transferability of ownership is easy in the corporate form of business.
Stockholders has limited liability, and they are not liable for corporation’s debts.
Investors can purchase or sale their shares in small quantities.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

Ch. 11 - Prob. 1Q Ch. 11 - Prob. 2Q Ch. 11 - Prob. 3Q Ch. 11 - Explain each of the following terms: (a)...Ch. 11 - What are the differences between common stock and...Ch. 11 - What is the distinction between par value and...Ch. 11 - What are the usual characteristics of preferred...Ch. 11 - What items are included in Accumulated Other...Ch. 11 - What is treasury stock? Why do corporations...Ch. 11 - How is treasury stock reported on the balance...

Explain the primary advantages of corporate form of business.

Explain the primary advantages of corporate form of business.

Explanation of Solution

Want to see more full solutions like this?

Chapter 11 Solutions