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Can profit be the sole objective of the business?
Yes, it can, but expect that business to be short lived. Nowadays, business is about more than just money. More and more, there is a switch towards higher social responsibility.
What are the differences between profit and sales maximisation objectives?
A Sales Maximisation objective aims at increasing the cash value turnover/Sales Income/Revenue. Costs and expenses are not taken into account. Profit maximisation seeks to increase the bottom-line profit, regardless of sales or other considerations. Profit = sales less costs. If sales reduce, but if costs reduce by a greater amount, profit will increase. If sales are less in such a scenario, the work required to achieve sales may be less, so more profit is being made with less effort, which would be a good indicator of the organisation's efficiency and ability to trade successfully despite business challenges. Profits can also be increased by maintaining at costs at their present level, and increasing the selling price. Assuming that the volume of sales does not decrease, bottom-line profits will increase. Sales maximisation can be an valid objective if the sole aim is to increase market share or other related reasons. However, Sales Maximisation accompanied by ever-decreasing profits cannot be sustained indefinitely.
Why a sole trader have to take partner?
A sole trader may take on a partner if he decides to expand his business. Say if a sole trader in electronics believes that there is room in his business for growth and wants to expand but is not sure what to do, then he may go out and look for a partner to help him expand and run the business with him. Partnerships share both the profits and losses with each other whilst running the business.
What is the Most Common Forms of Business?
partnerships, corporations, and sole proprietorships
What terms best describes an individual who owns a business?
sole proprietor
Who receives the profit from a sole proprietorship?
Either the sole proprietor or the profit may be reinvested in the business in which case the sole proprietorship.
Can profit be the sole objective of the business?
Yes, it can, but expect that business to be short lived. Nowadays, business is about more than just money. More and more, there is a switch towards higher social responsibility.
Why do people engage in business?
People engage in business to make money and get returns on investment. This is the sole objective of any type of business.
Is the profit sole objective of business organizations yes or no with real life examples?
There are many arguments on this question. The most important thing to focus on as a business in growth. It is only through the growth of your company that you can earn huge profits.
What are the local sample business unit the various objective that pursue?
If you have read about sole proprietor then i think you should not face any problem because the answer of this question is the objective of sole proprietorship.
Characteristic of a sole trader?
the characterististics of a sole trader are: -unlimited liablitity -only one person controls the business which is called the sole trader - financial infomration is only visible for the owner of the business - the sole trader can keep all profit made by the business - it is a unicorporated business
A business owned by one person who takes all the profit is called what?
Sole Proprietorship
Can I deduct expenses for my sole proprietorship even if I claim the standard deduction?
Yes. Your expenses as a sole proprietor aren't deducted on Schedule A (Itemized Deductions). If you aren't using Schedule A, then you claim the standard deduction. Income and expenses from a sole proprietorship are entered on Schedule C (Profit or Loss from Business) or Schedule C-EZ (Net Profit from Business). Your net profit/(loss) is then entered on line 12 of Form 1040.
Name five advantages of a sole proprietorship?
Taxation, changing business structure, formation, ownership, and distribution of profit.
What are the three basic forms of business organizations for profit oriented enterprises?
proprietorhsip, partnership and corporations
Tax form who can file Net profit from business?
Schedule C is to be filed by those who are in business as a sole proprietor. or in business as a single member LLC which has not elected to be taxed as a corporation.
What is profit to business management?
Sole proprietorship Profit maximisation providing a day to day focus for management and to ensure investments made by the company, to earn a return that is satisfactory to shareholders.
