If a Sole Proprietorship Retains Its Profits for Business Expansion

question 43

True/False

If a sole proprietorship retains its profits for business expansion purposes instead of distributing the money to a proprietor,that owner still must pay taxes on the income made by the proprietorship.

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Definitions:

Materialism

A philosophical viewpoint that regards material and physical objects, as well as the physical universe, as the only things that truly matter.

Moralizing Work

An artwork, literary work, or performance intended to convey moral lessons or criticisms, often through allegory or exemplar stories.

Dominant European Power

It refers to the most influential and powerful country or state in Europe during a specific historical period.

16th Century

The period extending from January 1, 1501, through December 31, 1600, marked by significant events such as the Protestant Reformation and the age of exploration.