22107 Lecture Notes - Lecture 2: International Accounting Standards Board, Australian Securities Exchange, International Financial Reporting Standards
Document Summary
Skills, combining resources and spreading the financial risk of the business among several people. A partnership is considered a separate accounting entity, separate from the individual pa(cid:396)t(cid:374)e(cid:396)s like sole p(cid:396)op(cid:396)ieto(cid:396)ships, a pa(cid:396)t(cid:374)e(cid:396)(cid:859)s sha(cid:396)e of pa(cid:396)t(cid:374)e(cid:396)ship i(cid:374)(cid:272)o(cid:373)e is (cid:396)epo(cid:396)ted o(cid:374) the pa(cid:396)t(cid:374)e(cid:396)(cid:859)s individual tax return. A company or corporation is a separate legal entity that is established by registering the company with the australian securities and investments commission (asic). One of the main reasons that companies are formed is to raise capital through the sale of the ownership interests (issue of shares). A company is accounted for separately from its owners; however, it is also taxed separately. The ad(cid:448)a(cid:374)tages of a (cid:272)o(cid:373)pa(cid:374)(cid:455) i(cid:374) aust(cid:396)alia is that di(cid:448)ide(cid:374)ds a(cid:396)e (cid:374)ot (cid:858)dou(cid:271)le ta(cid:454)ed(cid:859) as i(cid:374) (cid:373)a(cid:374)(cid:455) othe(cid:396) countries. There are two main types of companies in australia, proprietary (private) and public (cid:272)o(cid:373)pa(cid:374)ies. The (cid:373)ost (cid:272)o(cid:373)(cid:373)o(cid:374) is the p(cid:396)op(cid:396)ieta(cid:396)(cid:455) (cid:272)o(cid:373)pa(cid:374)(cid:455) (cid:894)ofte(cid:374) i(cid:374)di(cid:272)ated (cid:271)(cid:455) the (cid:858)pt(cid:455)(cid:859) at the end of the company name.
