Which of the Following Is Typically Considered a Disadvantage of Sole

question 87

Multiple Choice

Which of the following is typically considered a disadvantage of sole proprietorships?

• A)Income taxes are paid by both the business and its owner.
• B)The business is considered a separate legal entity from its owner.
• C)Establishing the business usually requires legal assistance.
• D)Owner is personally liable for all debts of the business.

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Definitions:

Zero

A number representing the absence of any quantity or measure; it is a fundamental concept in mathematics and sciences.

Positive

Referring to a condition or quantity that is more than zero, often associated with good or desirable outcomes.

Negative

A term often used to describe a decrease, a downward trend, or harmful effects in various contexts, including finance, health, and environmental studies.

Straight Line

In mathematics and geometry, the shortest path between two points without any curvature.