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Q: The cost of workers' compensation insurance to a construction company with 500 employees would be higher than the cost of insurance to a small candy company with only five employees. True
False
A: Size definitions [edit] The legal definition of "small business" varies by country and by industry. [ In the United States the Small Business Administration establishes small business size standards on an industry-by-industry basis, but generally specifies a small business as having fewer than 250 employees for manufacturing businesses and less than $7 million in annual receipts for most non
manufacturing businesses.[2] The definition can vary by circumstance ? for example, a small business having fewer than 25 full-time equivalent employees with average annual wages below $50,000 qualifies for a tax credit under the health care reform bill Patient Protection and Affordable Care Act.[3] The European Union generally defines a small business as one that has fewer than 50 employees. However, in Australia, a small business is defined by the Fair Work Act 2009 as one with fewer than 15 employees. By comparison, a medium sized business or mid-sized business has under 500 employees in the US, and fewer than 200 in Australia. In addition to number of employees, other methods used to classify small companies include annual sales (turnover), value of assets and net profit (balance sheet), alone or in a mixed definition. These criteria are followed by the European Union, for instance (headcount, turnover and balance sheet totals). Small businesses are usually not dominant in their field of operation. The table below serves as a useful guide to business size nomenclature. Business Size definitions AUS US EU Minute/Micro 1-2 1-6 500 >1000 >1000 ? Most cells reflect size not defined in relevant legislation ? Some definitions are multi-parameter, e.g., by industry, revenue, market share From Wikipedia, the free encyclopedia ]
marissa-sarol|Points 111|
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Asked 12/14/2013 11:24:32 AM
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