Which One of the Following Statements Concerning a Sole Proprietorship

question 4

Multiple Choice

Which one of the following statements concerning a sole proprietorship is correct?

• A)The life of a sole proprietorship is potentially unlimited.
• B)A sole proprietor can generally raise large sums of capital quite easily.
• C)Transferring ownership of a sole proprietorship is easier than transferring ownership of a corporation.
• D)A sole proprietorship is taxed the same as a corporation.
• E)It is easy to create a sole proprietorship.

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Definitions:

Daimler-Benz

A global automobile manufacturer known for its luxury vehicles, now part of the larger company Daimler AG.

Chrysler

An American automotive company known for its brand of cars, minivans, and trucks; it's part of Stellantis, a multinational automotive manufacturing corporation.

Success Rate

The proportion or percentage of attempts that lead to a successful outcome or achievement of defined objectives.

Industry Sector

A distinct subgroup of the economy characterized by a common business interest, products, services, or regulatory environment.