From the Selections Below Identify the Advantage of Sole-Proprietorships and Partnerships

question 90

Multiple Choice

From the selections below identify the advantage of sole-proprietorships and partnerships.

• A)Unlimited liability
• B)Ease of capital formation
• C)Income is not taxed twice
• D)Mutual agency

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Definitions:

Reasonable Care

The degree of caution and concern an ordinarily prudent and rational person would use in similar circumstances.

Business Invitees

Those people, such as customers or clients, who are invited onto business premises by the owner of those premises for business purposes.

Intentional Tort

A legal wrong resulting from actions undertaken with the intent to cause harm or injury.

Liable

Being legally responsible or obligated, often used in the context of bearing the consequences for actions or incurring debts.