Ask Question
BusinessBusiness
25 March, 10:27

Nick is a partial owner of Kinsey Electronics and Madison is a partial owner of Goodson Electric. Both Nick and Madison defaulted on personal loans. Madison's creditors forced her to pay back the loans using money from Goodson Electric, but Nick's creditors were not allowed to force Kinsey Electronics to pay back Nick's loans. What is the difference between Nick and Madison?

+2
Answers (1)
  1. 25 March, 10:41
    0
    Nick is a partial owner of a corporation, and Madison is a partial owner of a partnership.

    Explanation:

    Based on the scenario being described within the question it can be said that the main difference between Nick and Madison is that, Nick is a partial owner of a corporation, and Madison is a partial owner of a partnership. This is because a company acts as one entity, therefore the loan is responsibility of all involved and therefore they cannot force Nick to pay back the loans. While in a partnership each individual or owner has their own responsibilities and can be held accountable.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Nick is a partial owner of Kinsey Electronics and Madison is a partial owner of Goodson Electric. Both Nick and Madison defaulted on ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Marian Kirk wishes to select the better of two 10-year annuities, C and D. Annuity C is an ordinary annuity of $2,500 per year for 10 years. Annuity D is an annuity due of $2,200 per year for 10 years. a.
Answers (1)
At the end of year 1, Rome Inc. held debt securities classified as available-for-sale securities. The securities were carried at market value of $57,320 with a cumulative unrealized loss of $12,350.
Answers (1)
M2-9 Determining Financial Statement Effects of Several Transactions [LO 2-2] For each of the following transactions of Spotlighter, Inc.
Answers (1)
Kaitlyn is 19 years old, and her grandmother recently passed away. She was surprised to learn that her grandmother left her $500,000 in her will. Which investment would you recommend for Kaitlyn?
Answers (1)
If the reserve requirement is 5 percent, a bank desires to hold no excess reserves, and it receives a new deposit of $10, then this bank a. must increase its required reserves by $10. b. will initially see its total reserves increase by $10.50. c.
Answers (1)
New Questions in Business
In a certain economy in 2005, households spent $1,000 on goods and services; purchases of capital equipment, inventories, and structures amounted to $350; government spent $450 on goods and services;
Answers (1)
Mutual interdependence means that each oligopolistic firm: a. faces a perfectly elastic demand for its product. b. must consider the reactions of its rivals when it determines its price policy. c. produces a product identical to those of its rivals.
Answers (1)
Green Valley Mills produces carpet at plants in St. Louis and Richmond. The carpet is then shipped to two outlets, located in Chicago and Atlanta.
Answers (1)
Which of the following is an appropriate base to distribute the cost of building depreciation to responsibility centers? Total budgeted direct operating costs of the responsibility centers. Square feet occupied by the responsibility centers.
Answers (1)
Which of the following is a manufacturing cost? A. Indirect materials B. Advertising expense C. Depreciation of the office equipment used by the sales staff D. Salary of clerical workers
Answers (1)
Home » Business » Nick is a partial owner of Kinsey Electronics and Madison is a partial owner of Goodson Electric. Both Nick and Madison defaulted on personal loans.
Sign Up Forgot Password?