A Disadvantage of Operating as a Sole Trader Is

question 17

Multiple Choice

A disadvantage of operating as a sole trader is:

• A)being unincorporated
• B)having a business that is inexpensive to start up and wind down
• C)having very little government regulation
• D)having total control of business decisions

---

Definitions:

Balance Sheet

A financial statement that shows a company's assets, liabilities, and shareholders' equity at a specific point in time.

Income Statement

a financial statement that shows a company's revenues and expenses, and thus its profit or loss, over a specific period of time.

Percentage of Net Change

A calculation that measures the difference in a financial figure over a period as a percent of its value at the start of the period.

Comparative Income Statement

A financial statement that compares income, expenses, and net profits over different periods to show performance trends.