Millie Has a Sole Proprietorship That Is Her Only Source

question 63

Multiple Choice

Millie has a sole proprietorship that is her only source of income.What legal action should she take to prevent the business from being ruined if she becomes incapacitated?

• A)Give someone who is competent power of attorney to continue the business.
• B)State in her will what she would like to do with the company.
• C)Find a partner and change the legal organisation of the company.
• D)Tell her heirs to sell as she cannot prevent ruin with a sole proprietorship.

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Definitions:

Competency-Based Pay

A salary system where compensation is based on the skills, abilities, and knowledge an employee brings to their role rather than just their job title or position.

Designated Job Category

Positions or roles defined by specific criteria, which often relate to employment equity or affirmative action policies.

Red Circle Rates

Pay rates that are higher than the typical range for a position or task, often protected by a grandfather clause.

Range Maximum

The highest value within a designated range, often used in contexts such as salary scales where it represents the top salary available for a particular position.