Identify the Correct Statement About Sole Proprietorship

question 14

Multiple Choice

Identify the correct statement about sole proprietorship.

• A) The owner shares responsibility with the agents and employees.
• B) It may be operated under an assumed or trade name.
• C) Employees of the business are not the personal employees of the owner.
• D) The salaries paid to the employees are not deductible in determining taxable income.

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Definitions:

Ambiguous

Open to more than one interpretation or having a double meaning, often leading to confusion or misunderstanding.

Universal Facial Expressions

Facial expressions that are recognized and understood across different cultures, such as happiness, sadness, anger, fear, surprise, and disgust.

Agitation

A state of nervousness or unrest, often characterized by increased movement or verbal activity.

Embarrassment

A feeling of self-consciousness, shame, or awkwardness that arises from an uncomfortable or socially unacceptable situation.