Which of the Following Statements Regarding Sole Proprietorships Is False

question 54

Multiple Choice

Which of the following statements regarding sole proprietorships is false?

• A) A sole proprietorship has no legal identity separate from that of its owner.
• B) Sole proprietorships are the most common form of business entity in the U.S.
• C) The cash flow generated by a sole proprietorship belongs to the owner.
• D) The assets and liabilities of a sole proprietorship are held in the name of the business, not the owner.

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Definitions:

Copyleft

A licensing protocol that allows for the free distribution and modification of copyrighted work, as long as all copies and derivatives remain under the same license terms.

Copyright

A legal term that protects the original works of authors, composers, and artists, ensuring they have exclusive rights to their creations.

Copyleft

A licensing concept that grants the right to freely distribute and modify copyrighted work, with the stipulation that all derived work must be distributed under the same or similar license.

Real Property

A legal term encompassing real estate and the land on which it sits, along with any permanent structures or improvements attached to the land, such as buildings.