Differentiate Between a Sole Proprietorship and a Corporation

question 78

Essay

Differentiate between a sole proprietorship and a corporation.

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Definitions:

Customer

An individual or entity that purchases goods or services from a business.

Sales Returns and Allowances

Concessions made to customers for returned merchandise or unsatisfactory goods, reducing sales revenue.

Office Supplies

Items used in offices for daily operations and tasks, including stationery, pens, paper, and other small equipment, often classified as current assets in accounting.

Net Sales

The total revenue from sales of goods or services, after deducting returns, allowances for damaged or missing goods, and any discounts given.