Sole Proprietorship
3 practice questionsBusiness LawStep-by-step solutions
Try a few
1
How are the profits of a sole proprietorship usually taxed?
A.As a separate corporate entity
B.As the personal income of the owner
C.They are tax-exempt
D.Only when distributed as dividends
2
A key feature of a sole proprietorship is that the owner has:
A.Limited liability
B.Unlimited personal liability for business debts
C.No control over the business
D.Shares traded on a stock exchange
3
A distinguishing feature of a sole proprietorship is that the owner:
A.Has limited liability
B.Has unlimited personal liability for business debts
C.Cannot be sued
D.Must have at least five partners
Master sole proprietorship — not just preview it
All 3 questions with worked solutions, an AI tutor that explains every step, and games that make the drilling stick. Free to start.
Practice this topic freeNo card needed · 10 free AI questions daily