Corporate website

Question One Advantages of a sole proprietorship include complete control over decision-making, simplicity in its structure, and its profits are only taxed once as personal income since it goes directly to the owner. Disadvantages include being personally liable for the debts of the business, having limited funds since it comes from the owner’s own money, and not being investor friendly because of investors are hesitant to give money to a business with only one decision-making head. Similar…

The Adelphia scandal is the one the most extensive financial frauds ever happened at a public company. The fraud was long-lasting: the company systematically excluded billions of dollars in liabilities from its consolidated financial statements since at least 1998 till March, 2002. Huge amounts of money were hidden on the off-balance sheet affiliates' books. The company was found in 1952. In 1986 it was publicity listed. Rigas Family owned five cable television companies, which were reorganized…

Corporate governance has been one of the principal factors responsible for the global economic downturn in the form of corporate collapses and frauds across the world. (Arens et al., 2011) states that the rising number of corporate failure has become a debatable issue and it advocates propose that it is extremely imperative to have good corporate governance in organisations. The adoption of poor corporate governance is clearly noticeable in most famous corporate collapse like: HIH Insurance,…

2.4 Independence Effective from November 2003, a non-exhaustive list of 7 criteria (as shown in Appendix 1) has been incorporated in the UK Corporate Governance Code to assess a director’s independence (Financial Conduct Authority 2013). The Code requires the board to determine and disclose in their annual report whether each non-executive director is independent in character and judgement. Independence is a quality demonstrated by an individual which would not be unduly influenced by interested…

2.2. Corporate value theories 2.2.1. Valuation David Frykman (2003) identified three bases of valuation, including cash flow, return and operational variables. Thus, a great number of valuation approach such as EVA and DDM can be used under certain conditions. However, the most common valuation approach is the discounted cash flow model(DCF). It considers perspectives of all claimholders in the company. Economists define the corporate value as the present value of expected free cash flow of…

has a life of 10 years and they estimate salvage value of the equipment at $160,000. The cost of capital for Gordon is normally 10% but this particular project is out of their normal expertise and they would like to add a 3% risk premium. The corporate tax rate for Gordon is 30%. •…

2. LONG v. COMMISSIONER, 77 TC 1045, Code Sec(s) 1031. - This case deals with a similar issue as that addressed in the Gulfstream Case, however it also looks at the tax implications of an exchange in which liabilities are also being exchanged. The courts ruled that the transfer, in general, could qualify for Section 1031 deferment. This was based on the conclusion that the definition of a partnership included joint ventures (which was involved in the exchange), however because unequal amounts of…

Selecting the Right Business Entity Choosing the Right Business Entity for Maximum Growth The legal entity that you choose for your business is one of the most crucial decisions you 'll make when it comes to realizing tax advantages that help your business grow. If you 've already established your business, it might be worth reviewing your business structure and finances with a Certified Tax Coach, and it’s always important to consider your options when starting a new company. Even though it…

markets programme provided by the CISI to gain exposure towards this career path. Another option as a career for me is corporate finance for which I will use the ICAEW to show the path which could lead to a career in this. The CISI and ICAEW have a joint association which makes the corporate finance qualification available to the CISI as well. One of the benefits of completing the corporate…

Discussion Board #4 Case Study: The Gathering Place Betty, with the blessing of her husband, has decided to pursue opening a coffee shop in her hometown of Belmont, North Carolina. Betty is a Christian and wants her coffee shop to be a place where like-minded can meet. Her desired name for the coffee shop is The Gathering Place. Betty has multiple decisions she must make during the process of establishing the business. She has to decide what type of business to establish, such as a sole…