Which of the following is not true for a sole proprietorship?
A)Limited liability
B)Limited life
C)Single taxation
D)Ease of formation

Question

Quizplus · Accepted Answer

Sole proprietorships do not have limited liability, meaning the owner is personally liable for any debts or legal issues the business may face. The other options are true for sole proprietorships: they have limited life (dependent on the lifespan of the owner), single taxation (business profits are reported on the owner's personal tax return), and are relatively easy to form (no formal legal process required).

Which of the Following Is Not True for a Sole