(L. OBJ. 5, 6, 7) Characteristics of a proprietorship, accounting concepts, and using th...

(L. OBJ. 5, 6, 7) Characteristics of a proprietorship, accounting concepts, and using the accounting equation [5—10 min]

Select financial information for three proprietorships follows:

Requirements

1. Compute the missing amount in the accounting equation for each entity.

2. List in alphabetical order the five main characteristics of a proprietorship.

3. Which accounting concept tells us that the previous three companies will cease to exist if the owners die?