Which of the Following Is a Disadvantage Associated with Sole

question 63

Multiple Choice

Which of the following is a disadvantage associated with sole proprietorships?

• A) Raising money to finance growth can be tough for business owners.
• B) Taxes are levied directly on the earnings of business owners.
• C) Controlling power cannot be retained by the business owners.
• D) The costs of formation of a firm are more compared to other business forms.

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Definitions:

Creativity

The ability to generate new and innovative ideas or solutions to problems.

Commitment

The state or quality of being dedicated to a cause, activity, or goal.

Strategic Plans

Long-term visions and goals of an organization, together with the strategies to achieve them.

Operational Plans

Detailed plans formulated at a lower level of the organization to implement strategic objectives through day-to-day operations.