If an Individual Forms a Sole Proprietorship, Which Nontax Factor

question 47

Multiple Choice

If an individual forms a sole proprietorship, which nontax factor will be of greatest benefit to the sole proprietor?

• A) Liability protection.
• B) Legal flexibility in defining rights and responsibilities of owners.
• C) Facilitates initial public offerings.
• D) Minimal time and cost to organize.

---

Definitions:

HTML

A markup language used for creating and structuring content on the World Wide Web.

Rich Text

A text format that supports various formatting options like bold, italics, and colors as opposed to plain text.

Plain Text

Text that is stored or displayed without any formatting, differing from rich text, which can include styles like bold or italic.

Email Service Provider

A company or service that offers tools and services for sending, receiving, and managing electronic mail.