Solution manual for financial accounting 13th edition by thomas tietz

SOLUTION MANUAL v




Financial Accounting, 13th Edition
v v v




by C William Thomas and Wendy M. Tietz Chapters 1 -
v v v v v v v v v v




12, Complete
v v

,
,Chapter 1 v




The Financial Statements
v v




Ethics Check
v




(5-10 min.) EC 1-1
v v v




a. Objectivityand independence
v v




b. Due care v




c. Integrity
d. Integrity

, Short Exercises
v




(10min.) S1-1v v v




a. Corporation, v limited v partners v of v a v Limited-liability
partnership (LLP) and Limited-liability company (LLC). If any of
v v v v v v v v v v v




v these businesses fails and cannot pay its liabilities, creditors
v v v v v v v v




v cannot force the owners to pay the business’s debts from the
v v v v v v v v v v




v owners’ personal assets. Creditors can go after the general partner
v v v v v v v v v




v of a limited liability partnership.
v v v v




b. Proprietorship. There is a single owner of the business, so the v v v v v v v v v v




owner is answerable to no other owner.
v v v v v v v




c. Partnership. If the partnership fails and cannot pay its liabilities,
v v v v v v v v v




v creditors can force the partners to pay the business’s debts from
v v v v v v v v v v




v their personal assets. A partnership affords more protection
v v v v v v v




v for creditors than a proprietorship because there are two or more
v v v v v v v v v v




v owners toshare this liability.
v v v v




(5min.) S1-2v v v




1. The entity assumption applies.
v v v




2. Application of the entity assumption will separate Osmond’s
v v v v v v v




v personal assets from the assets of Simple Treats, Inc. This will
v v v v v v v v v v




v help Osmond, investors, and
v v v