Accounting Lesson 2
Accounting Lesson 2
Business Organizations
and Activities
Week 002: Business Organizations and Activities
Module Coverage
Business Organizations as To Ownership
Sole Proprietorship
Partnership
Corporation
Business Organizations as To Nature of Activity
Service Concern
Merchandising Concern
Manufacturing Concern
Different Categories of Business Activities
Operating Activities https://www.google.com.ph/search?q=business+organ
izations+and+activitiesimages+and+photos
Financing Activities
Week 002: Business Organizations and Activities
Learning Objectives
According to Ownership
• Sole Proprietorship- owned by one person.
• Partnership- consists of two or more individuals
called partners.
• Corporation- consists of at least five persons to
incorporate; created by operation of law.
https://www.google.com.ph/search?q=+business+org
anizations+images+and+photos
Retrieved: August 12, 2017
Week 002: Business Organizations and Activities
Limited, depends
Organization's Limited, on the owner's Indefinite life ( in the Philippines, 50
life span depends on the decision or death years renewable
owner's
decision or
death
Owners'
personal Owner
liability for the personally Partners
business liable personally liable Shareholders are not personally liable
obligations or
debts
Organization's
accounting Separate from Separate from the
status the proprietor partners Separate from the corporation
https://www.google.com.ph/search?q=+business+o
rganizations+images+and+photos
Retrieved: August 12, 2017
Week 002: Business Organizations and Activities