Five independent situations follow: 1. Randi Nelson wants to build carports that can be rented to customers for winter storage of recreational vehicles (RV). Her idea is for customers to rent outdoor storage space and as an add-on rent a carport, which Randi would provide to protect their RV from the winter elements. This would require Randi to market her carport rental business through companies that sell new and used RVs. 2. Three graduate students, working in collaboration, discovered a way to use biotechnology to target cancer cells in mice. They believe their discovery could be used on humans and want to create a start-up company that will be able to raise funding to conduct clinical trials while protecting the intellectual property. Each will contribute an equal amount of knowledge to the venture and seek their initial share of the investment from family members. 3. Stella, a culinary art student, always had an interest in homemade ice cream. She opened a mobile ice cream cart, which she takes to special events such as weddings and carnivals over the summer months. 4. Giuseppe Palmieri, a recent graduate from the University of Ottawa, decided to become a gondolier. He started a tourist attraction providing gondola rides on the Rideau Canal in Ottawa. He hires and trains university students to work for him as gondoliers over the summer. In the winter, he rents sleighs that skaters can pull behind them on the frozen canal. 5. Alexandro and Alexis recently passed the bar after articling with Case \& Case law firm. They became good friends while working at Case \& Case and found they worked well together, so they decide to branch out and open their own law firm. (b) Indicate which type of accounting standards-IFRS or ASPE-each of the business organizations in each of the above situations is most likely to use for external reporting purposes. 1. 2. 3. 4. 5