1) Fred and Barney agree while talking on the phone to form apartnership. Their partnership agreement is legally binding
a. only if it is subsequently put in writing
b. only if a subsequent writing is filed with the state
c. only if each partner gives consideration to the other
d. without any further measures
2) Hillary, a partner in an LLC, owes $100,000 personally toseveral creditors. To satisfy these debts, the creditors may obtainan order entitling them to:
a. Hillary's profits as a partner
b. Hillary's interest in partnership assets
c. both a and b
d. none of the above
3) Generally accepted accounting principles that can determinewhether an accountant is negligent, are determined by rules,releases and pronouncements of
a. the Securities and Exchange Commission
b. the American Institute of Certified Public Accountants
c. the Financial Accounting Standards Board
d. all of the above
4) How is Apparent authority created?
a. By perceptions of third parties that have been created by theprincipal
b. By agreement
c. By implication
d. By either agreement or implication
5) Schuh hired Jack for six months as an assistant sales managerat $4000 a month plus 3% of sales.
a. The agreement must be in writing and signed by the party tobe charged.
b. This is an independent contractor agreement
c. Jack must disclose to Schuh any interests that are adverse toSchuh's business
d. Jack can be dismissed at any time during the six month periodof employment
1) Fred and Barney agree while talking on the phone to form apartnership. Their partnership agreement is legally binding
a. only if it is subsequently put in writing
b. only if a subsequent writing is filed with the state
c. only if each partner gives consideration to the other
d. without any further measures
2) Hillary, a partner in an LLC, owes $100,000 personally toseveral creditors. To satisfy these debts, the creditors may obtainan order entitling them to:
a. Hillary's profits as a partner
b. Hillary's interest in partnership assets
c. both a and b
d. none of the above
3) Generally accepted accounting principles that can determinewhether an accountant is negligent, are determined by rules,releases and pronouncements of
a. the Securities and Exchange Commission
b. the American Institute of Certified Public Accountants
c. the Financial Accounting Standards Board
d. all of the above
4) How is Apparent authority created?
a. By perceptions of third parties that have been created by theprincipal
b. By agreement
c. By implication
d. By either agreement or implication
5) Schuh hired Jack for six months as an assistant sales managerat $4000 a month plus 3% of sales.
a. The agreement must be in writing and signed by the party tobe charged.
b. This is an independent contractor agreement
c. Jack must disclose to Schuh any interests that are adverse toSchuh's business
d. Jack can be dismissed at any time during the six month periodof employment
