Which of the following statements about a sole trader is NOT true?
A)All profits made by the business belong to the business and form part of the business' own income.
B)Because there are no special statutory disclosure requirements,secrecy can be maintained by the sole trader.
C)There are no special requirements to start operating a business if the sole trader uses their own name.
D)The sole trader generally has complete control over what the business will and will not do.

Question

Quizplus · Accepted Answer

In a sole proprietorship, all profits made by the business belong to the sole trader personally, not to the business as a separate entity, because legally, the business and the owner are considered the same entity.

Which of the Following Statements About a Sole Trader Is