ACCTING 1002 Lecture Notes - Australian Securities Exchange, Australian Company Number, Legal Personality

• School: University of Adelaide
• Department: ACCTING - Accounting
• Course: ACCTING 1002
• Professor: Nurmalisa Chi Alie

Document Summary

Sole proprietor (sole trader: partnership, corporation (company) The major difference between these forms is the equity section of the balance sheet. However, most accounting applies to the business" or entity" and is the same regardless of the business structure. It is the most common type of business in australia. The owner maintains complete control of the business, bears all the risk of failure, and reaps all the rewards of success. Personally liable for the actions and obligations of their business. If ownership is to change the business must be sold. For tax purposes only the sole proprietor"s business is not separated from the proprietor. A business that is formed when two or more proprietors join together to own a business. Partnerships bring together people with different skills, combine resources and spreads the financial risk among several owners. And can be established through either written or verbal agreements. A partnership is considered a separate accounting entity, separate from the individual partners.