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Legal relationship

01 / 10 / 2021 Assignment

This paper circulates around the core theme of Legal relationship together with its essential aspects. It has been reviewed and purchased by the majority of students thus, this paper is rated 4.8 out of 5 points by the students. In addition to this, the price of this paper commences from £ 99. To get this paper written from the scratch, order this assignment now. 100% confidential, 100% plagiarism-free.

• What are the advantages and disadvantages of incorporation, compared with remaining a partnership?

• What is the legal relationship between the shareholders, directors and officers in a company?

• What portion of the total equity belongs to each partner in the new company? Will the partners be happy with this if they expect the same profit-sharing ratio as in the partnership?

• Given that it will cost $300 in legal fees to form the company, how should these legal fees be recorded in the company’s accounts?

• How would the balance sheet of the company appear immediately after registering and taking up the loan from Western Bank?

• How much profit before income tax and interest would the company have to earn in the first year in order to achieve a rate of return on total assets (net of depreciation) of 15%?

• Assuming an income tax rate of 30% on profit, how much profit would this represent for the shareholders after interest and after tax?


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