Explore BrainMass

Explore BrainMass

    Evaluate the legal aspects

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    You are an accountant at a small accounting firm. One of your clients is looking to open a small river-rafting business. Your client will run the business operations from a mobile home office on a piece of land on the riverbank. Your client must decide the best location to start this business and has asked you to explain the accounting advantages of choosing the best location. Your client is also wondering if the business should build a permanent structure on the land, or use the mobile home they already own. Additionally, your client wants to know the insurance implications of this decision. How would the insurance implications of the location decision change the company's risks and how might your client use insurance to better manage those risks? As a team, conduct research on three locations and select a location that your client will use to start this business. The locations should be in states where your at least one of your team members lives.

    1) Evaluate the legal aspects of acquiring, holding, and disposing of real property.

    2) Evaluate the legal aspects of acquiring, holding, and disposing of personal property.

    © BrainMass Inc. brainmass.com December 15, 2020, 4:58 pm ad1c9bdddf

    Solution Preview

    The response addressed here is in 1556 words with references.

    //The following paper presents a guidance to make a decision about starting a river-rafting business. The main confusion is about starting the business with the personal property or to acquire a real property. The main focus of this paper is on explaining the legal aspects of acquiring, holding and disposing real and the personal property. Also, the implications of the insurance and the decision based on it has been explained. //

    Personal property is that property, which is considered to be movable or the property that can be moved from one place to another. This property is categorized into two parts that is the tangible and the intangible property. The tangible property can be understood as the property, which is mobile and can be sensed and touched too. In this category, the land, building, furniture etc are included. On the other hand, intangible property consists of the negotiable instruments and goodwill etc. Personal property has one basic concept that is the ownership. There are six ways in which the property can be transferred. Out of these six ways, three are sale, gift and bailment. And the rest three are adverse possession, confusion, and accession. Sales means transfer of the property for money or some other legal consideration. A bailment is delivery of the object only for a very limited period, in which the ownership can not be transferred.

    The legal aspects related to acquisition, holding and disposition of personal property are discussed further. During the acquisition of the personal property, the buyer and seller should pay equal attention towards the contract, during the purchase of the property, whether, all the pre-decided conditions are incorporated or not. It is important to conduct the transaction with the consent of the parties. The amount decided by the parties should be fair and according to the current market rate so that any problem should not crop up in the future. The next aspect discussed is to possess the right of ownership by holding the property. If the buyer of the property has fulfilled his obligations related to the payment of the property, then he is free to use the specific property. The last step follows the procedure of the disposition of the property. This point focuses on the fact that after gaining the ownership of the property, the buyer is considered to be the owner of the property and now, the owner is free to resale it. If the ...

    Solution Summary

    The response addresses the queries posted in 684 words with references.