ACCOUNTING FOR CORPORATION

 DEFINITION
1. Artificial being-
2. Created by operation of law
3. Right of succession
4. Powers, attributes and properties expressly
authorized by law or incidents to its existence.

 ADVANTAGES OF A CORPORATION
1. Continuity of existence
2. Limited liability
3. Strong Juridical Personality
4. Ease of transferability
5. Greater ability to acquire fund
6. Centralized management
7. Shareholders are not general agents of the
business

 DISSADVANTAGES OF CORPORATION
1. High cost of formation
2. Complicated in formation and management
3. Greater degree of government control and
supervision
4. Heavier taxation
5. Minority of the shareholders are subservient to
the wishes of the majority
6. In large corporation management and control
have been separated from ownership
7. Transferability of shares permit to the uniting of
incompatible and conflicting elements in one
venture.
 CLASSES OF CORPORATION
1. Stock Corporation- surplus profit is distributable
to shareholders
2. None Stock Corporation- No part of its income
is distributable as dividend to its members,
trustees or officers
 OTHER CLASSIFICATIONS OF CORPORATION
1. According to number of person