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what method is the best to track wear and tear on the van?
Best track of wear and tear The units-of production method tracks the wear and tear on the van most closely. [ Preferred method for income tax purposes For income tax purposes, the double-declining-balance method is best because it provides the most depreciation and, thus, the largest tax deductions in the early life of the asset. The company can invest the tax savings to earn a return on the
investment. ]
Expert answered|hersheys|Points 75|
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Asked 6/23/2013 11:40:41 AM
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what defines a partnership for business?
Weegy: A partnership for business is defined as an association of two or more persons engaged in a business enterprise in which the profits and losses are shared proportionally. [ The legal definition of a partnership is generally stated as "an association of two or more persons to carry on as co-owners of a business for profit" (Revised Uniform Partnership Act § 101 [1994]). ] (More)
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What are a business partnership's financial methods
Weegy: Equity Financing Equity capital is the amount of money that you and/or your partners put into the business or raise from other investors. Equity is not debt. [ While investors share in the profits (or losses) of the business, their investment is not a loan. Remember that to attract investors (shareholders) or partners, you must be able to demonstrate both the profitability and the reasonable risk of your business venture. The best way of doing this is through solid financial planning.. Consult your lawyer and your accountant before you enter into any equity agreement for your small business. Personal Investment from Self, Friends, and Relatives Personal savings, securities, real estate, and other personal assets are the most obvious source of cash for equity financing. Friends and relatives may provide additional sources of funds. In most cases, the small business owner must assume the largest share of the risk- this means making the largest investment in the business. Personal investment in the business by you, your family, and your friends demonstrates a faith in, and a commitment to, your business. This is important to other potential investors and lenders. In fact, banks and other lending institutions have established guidelines for the amount of investment that is required before they will lend money to a business. This is sometimes called the debt-to-equity ratio, and it varies depending on the type and nature of your business. Partner Investment If you cannot supply all the equity capital needed to finance your small business, you may have to find one or more partners willing to put money into the venture. Obtaining a partner means that ownership of the business, including its profits and liabilities, is normally shared. In most cases, partners want a say about how the business is run. Limited partners, sometimes called silent partners, can contribute financially to your business without participating in its management. ] (More)
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