1.Lina has been hired to oversee and manage Kanga Pty. Ltd.'s operations. She will commence her employment on 1 March 2021. Her annual salary is $240,000, and she will receive one-twelfth of the annual salary at the end of each month. Kanga Pty. Ltd.'s financial year runs between 1 July and 30 June in the following year.

Required: Indicate whether the event described above gives rise to an asset under the definition and characteristics within the Conceptual Framework.

2.Determine the form of business structure in the following situation below. Charlotte Smith and her husband run a printing business. They have been operating as a partnership for a couple of years. They expect that within the coming years there will be a significant increase in their sales, as they sign a five-year contract with Deakin College for contract printing. They estimate their profit before income tax to be around $480,000 this financial year. Long before running the printing business, they purchased a couple of rental properties which have been generating more than sufficient income and cash flows for day-to-day personal expense.

Required: Explain what form of business structure the business is likely to take. Give reasons for your choice.