How Is the Liability Factor a Disadvantage of Sole Proprietorship

question 26

Essay

How is the liability factor a disadvantage of sole proprietorship?

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Definitions:

Farmer

An individual engaged in agricultural activities, involved in the cultivation of crops or the raising of livestock.

Economic Progress

The process through which an economy grows or improves its capacity to meet its population's needs and wants.

Comparative Advantage

A situation where a country, individual, or company can produce a good or service at a lower opportunity cost than others.

Specialization

The process by which individuals, businesses, or countries focus on producing a limited range of goods or services to gain greater degrees of productive efficiency within an overall system.