Share
Explore BrainMass

Explaining the Components of a Report, Recommendations and Justification

Please explain the need for and how to fill out the following:

A. Format of Report Needs Revision
The candidate does not have a subheading for each business form with the required information.
A1a. Sole Proprietorship
Control, profits, liability are described. Please clarify or discuss three of the following: taxation, longevity, location or convenience.
A1b. General Partnership
Profits and liability are described. Please clarify or discuss four additional characteristics of a general partnership: control, longevity, taxation, location or convenience.
A1c. Limited Partnership
Liability is described. Some discussion for control is provided, but the discussion is not complete. Please clarify or discuss 5 of the following: control, longevity, taxation, profits, location or convenience.
A1d. C-Corporation
Control and liability are discussed. Please clarify or discuss 4 characteristics of a C-corp: profits, taxation, longevity, convenience or location.
A1e. S-Corporation
Convenience is discussed. Please clarify or discuss 5 of the following: control, taxation, liability, profits, location or longevity.
A1f. Limited Liability Company
Control and liability are described. Please clarify or discuss 4 of the following: profits, location, longevity, taxation or convenience.

B1. Recommendations
A general partnership is recommended. This does not adequately address the owner's concerns regarding control, longevity, expansion or liability. Please revise.
B2. Justification
Some justification is provided for the recommendation of a general partnership. Please justify the revised recommendation in terms of liability, control, taxes, investment for expansion and longevity.

C. Sources
A website is listed. Please include references and in-text citations for all sources used to complete the task.

Solution Preview

http://www.nolo.com/legal-encyclopedia/how-sole-proprietors-are-taxed-30292.html

The candidate does not have a subheading for each business form with the required information.
A1a. Sole Proprietorship
Control, profits, liability are described. Please clarify or discuss three of the following: taxation, longevity, location or convenience.

Taxation in a sole proprietorship requires for the sole proprietor to report all business income or loses on personal income tax returns as the business itself isn't taxed separately by the IRS.

Convenience or burden: Sole proprietorship may require that you pay higher income taxes because of the fact that you report business income on your personal tax returns. This can be burdensome depending on the individual businesses' circumstances.

Sole proprietorships doesn't possess longevity and has a limited lifespan because it ceases to exist if the business owner dies or decides to sell the business to another owner. Therefore, it's difficult for Sole Proprietorships to possess longevity.
http://smallbusiness.chron.com/define-sole-proprietorships-4458.html

A1b. General Partnership
Profits and liability are described. Please clarify or discuss four additional characteristics of a general partnership: control, longevity, taxation, location or convenience.

For General Partnerships the type of partnership will have a determination on the longevity of the business as three different forms of partnership exist to help the business owner choose the most appropriate form of general partnership for their individual business. Joint Tenancy, Tenants in Common, and Tenancy by entirety are the three forms of general partnership.

Control: There is 50/50 control and each partner shares 50% of the control if there are 2 partners. They also will have equal voting rights on decision-making for the ...

Solution Summary

The following posting helps with problems helps explains the components of a report, recommendation and justification.

$2.19