Which One of the Following Statements Concerning a Sole Proprietorship

question 186

Multiple Choice

Which one of the following statements concerning a sole proprietorship is correct?

• A) A sole proprietorship is the least common form of business ownership.
• B) The profits of a sole proprietorship are taxed twice.
• C) The owners of a sole proprietorship share profits as established by the partnership agreement.
• D) The owner of a sole proprietorship may be forced to sell his/her personal assets to pay company debts.
• E) A sole proprietorship is often structured as a limited liability company.

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Definitions:

Central Traits

Personality attributes that are considered particularly characteristic of an individual and which form a basic foundation of personality.

Gordon Allport

An American psychologist who is often considered one of the founders of personality psychology and known for his theory of personality traits.

Collective Unconscious

A concept in Jungian psychology referring to the part of the unconscious mind that is shared among beings of the same species containing archetypes.

Carl Jung

A Swiss psychiatrist and psychoanalyst who founded analytical psychology and introduced concepts such as the collective unconscious and archetypes.