Profits in a Sole Proprietorship Are

question 49

Multiple Choice

Profits in a sole proprietorship are:

• A)tax preferred
• B)subject to double taxation
• C)fully taxable
• D)tax exempt - only owner draws are taxed

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Definitions:

Internal Validity

refers to the extent to which a study can demonstrate a clear cause-and-effect relationship between variables, unconfounded by extraneous factors.

Causal Relationships

Connections between variables where a change in one variable directly influences a change in another.

External Validity

The extent to which the findings of a study can be generalized to other settings, populations, or time periods.

Laboratory Experiments

Experiments conducted in a controlled environment where variables can be manipulated and measured precisely.