The Most Popular Form of Business Ownership Is The

question 30

Multiple Choice

The most popular form of business ownership is the:

• A)sole proprietorship.
• B)partnership.
• C)corporation.
• D)S-corporation.

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Definitions:

Income Tax Payable

The amount of income tax a company owes to the government but has not paid by the end of the period.

Prepaid Asset

An asset on the balance sheet representing goods or services paid for in advance, which are to be consumed in future accounting periods.

Pre-Tax Book Income

The income of a business before taking into account any tax liabilities, reflecting the company's financial performance without the impact of tax expenses.

Taxable Income

The portion of an individual's or entity's income used to determine how much tax is owed to the government, after all deductions and exemptions are applied.