Which of the Following Is a Disadvantage of a Sole

question 190

Multiple Choice

Which of the following is a disadvantage of a sole proprietorship:

• A) business profits are taxed to the owner personally
• B) the owner is personally liable for all the business debts
• C) the limited alternatives for raising financial capital
• D) both b and c are disadvantages of a sole proprietorship
• E) both a and c are disadvantages of a sole proprietorship

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Definitions:

Similar Associations

Groups or organizations that share common goals, interests, or characteristics.

Institutions

Organizations or complexes of norms and behaviors that are recognized and accepted in society to fulfill collective functions.

Moral Principles

Fundamental beliefs about what is right and wrong that guide ethical decision-making and behavior.

Rawls's Model

A theoretical framework proposed by philosopher John Rawls that emphasizes principles of justice as fairness, including the veil of ignorance and the difference principle.