Which of the Following Statements Is the Most Accurate? Sole

question 106

Multiple Choice

Which of the following statements is the most accurate? Sole proprietorships:

• A) are well suited for people who want to own a business and share in its profits without taking an active role in management.
• B) are taxed at the owner's personal tax rate.
• C) are the least risky form of business ownership.
• D) must receive a state charter before they can legally conduct business.

---

Definitions:

Norwegian Krone

Norway's legal tender, indicated by the abbreviation NOK.

Canadian Dollar

The official currency of Canada, often symbolized as CAD, which is used across the country and in international financial transactions.

Absolute Purchasing Power Parity

A theory that in the long term, exchange rates should move towards rates that would equalize the prices of an identical basket of goods in any two countries.

Canadian Dollar

The currency of Canada, often represented by the symbol CAD.