Which of the Following Is Not a Characteristic of Sole

question 79

Multiple Choice

Which of the following is not a characteristic of sole proprietorships?

• A)Owners pay self-employment taxes
• B)Formation is always tax-free
• C)Distributions of entity income are tax-free
• D)Loss is recognized on liquidation

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Definitions:

Customer Retention

Strategies and activities a business employs to keep its customers engaged and reduce customer turnovers.

Cognitive Dissonance

A psychological phenomenon that occurs when a person holds contradictory beliefs, ideas, or values, leading to psychological stress or discomfort.

Selective Exposure

The process of allowing only a portion of the information revealed to be organized, interpreted, and permitted into awareness.

Benefits Important To The Prospect

Features or aspects of a product or service that are particularly valued or needed by a potential client or customer.