Sole Proprietorship Business Quiz
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Questions and Answers

What is the simplest form of business organization?

  • Partnership
  • Sole proprietorship (correct)
  • Corporation
  • Limited liability company
  • In a sole proprietorship, who is responsible for all the business decisions and operations?

  • An elected board of directors
  • The sole proprietor (correct)
  • A management team
  • A group of shareholders
  • What is a key characteristic of a sole proprietorship?

  • Simplest to establish (correct)
  • Separate legal entity
  • Publicly traded shares
  • Multiple owners
  • Which type of business organization provides unlimited liability to the owner?

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