What is Entity-Business and Non Business Entity?

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What is Entity-Business and Non Business Entity? What is Entity? Entity means a unit which performs different economic activities like purchase, sales, receipt, payment etc this entity may or may not do business Example Business Entity like Company, Partnership, Proprietorship Non business Entity like Governemnt, Trust, NGO etc Entity Business Entity Non Business Entity Example Example Proprietorship Trust Partnership NGO Company Governemnt Both do Economic Activities (Purchase, Sales, Receipt, Payment) So Both Maintain books of Accounts Which types of Entity maintain books of Accounts? Both Business and non business entity maintain books of accounts Different Types of Business Single Person runs 2 or more person runs business business Unlimited Liability Unlimited Liability Limited Liability Proprietorship Partnership Company Who is Owner? Who is Owner? Who is Owner? Proprietor Partners Shareholders Who is Proprietor ? The owner of Proprietorship is called Proprietor A person who invest in proprietorship business and berar all the risk involved is called Proprietor Who is Partner? The owner of Partnership is called Partner A person who invest in Partnership business and berar all the risk involved is called Partner Who is Shareholder? The owner of Company is shareholder A person who invest in Company and berar all the risk involved is called Shareholder