Aiou Solved Assignment 3 Accounting Code 311 I. Com is now being uploading. I.Com students can find here complete aiou solved assignment 3 for the subject course accounting code 311. This aiou solved assignment defined the partnership in detail. Partnership is one kind of business under which two or more than two do the business through their mutual understand for their joint business interest. Partnership also has some advantages and disadvantages of partnership.
AIOU SOLVED ASSIGNMENT 3 ACCOUNTING CODE 311 I.COM AUTUMN 2016
1 here are distinct partnership advantages and disadvantages. Before going into partnership advantages and disadvantages and especially before starting a partnership, let’s first define “partnerships” and make sure we know how they operate. The particular rules about partnerships lead to the partnership advantages and disadvantages.
Partnerships Defined and Explained:-
A partnership is an agreement between two or more people to finance and operate a business. Partnerships, unlike sole proprietorships, are entities legally separate from the partners themselves. In a general partnership, however, profits and losses flow through to the partners’ tax returns.
AIOU SOLVED ASSIGNMENT 3 ACCOUNTING CODE 311 SEMESTER AUTUMN 2016
Each general partner has equal responsibility and authority to run the business. Each partner should be involved in day-to-day operations of the business, and should make management decisions. Any partner may represent the business without the knowledge of the other partners—the actions of one partner can bind the entire partnership. If one partner signs a contract on behalf of the partnership, the general partnership and each partner are responsible for that contract. The shared ownership concept that characterizes a business partnership gives it certain distinct advantages and disadvantages.
Partnerships are relatively easy to establish; however time should be invested in developing the partnership agreement. In a partnership agreement, the following arrangements, among others, should be spelled out:-
1:- How the business will be financed. 2. Who will do what work? 3. What happens if a partner dies? 4. What happens if one or both partners want to dissolve the partnership. It is strongly recommended that an impartial attorney be contacted to write the partnership agreement. Here’s how to find the right attorney.
AIOU SOLVED ASSIGNMENT 3 CODE 311 ACCOUNTING FOR I.COM