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Questions and Answers
What is a sole proprietorship?
What is a sole proprietorship?
- A business owned by one person and operated for their benefit (correct)
- A business owned by a corporation and operated for their benefit
- A business owned by multiple people and operated for their benefit
- A business owned by the government and operated for their benefit
What is the responsibility of the owner in a sole proprietorship?
What is the responsibility of the owner in a sole proprietorship?
- Responsible and liable for debts incurred by the business (correct)
- Responsible only for corporate tax rates
- Responsible for debts only if the business is a corporation
- Not responsible for any debts incurred by the business
How is the taxation system for businesses different from that of corporations?
How is the taxation system for businesses different from that of corporations?
- Businesses are not taxed on their income
- Corporations are personally taxed on all income from the business
- Business structure does not allow for corporate tax rates (correct)
- Corporations do not have to pay any taxes
What is a corporation's characteristic in terms of liability?
What is a corporation's characteristic in terms of liability?
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How does the setup of a corporation compare to a sole proprietorship?
How does the setup of a corporation compare to a sole proprietorship?
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What is a sole proprietorship?
What is a sole proprietorship?
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How does a corporation differ from a sole proprietorship in terms of liability?
How does a corporation differ from a sole proprietorship in terms of liability?
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What is the responsibility of the owner in a sole proprietorship?
What is the responsibility of the owner in a sole proprietorship?
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How is the taxation system for businesses different from that of corporations?
How is the taxation system for businesses different from that of corporations?
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What does having a business name not do in relation to the business entity and the owner?
What does having a business name not do in relation to the business entity and the owner?
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