Business and Labor Unit Test

Question

1 of 181 of 18 Items
Question
Which of the following are benefits enjoyed by sole proprietorships? Select the two correct answers.(1 point)
Responses

limited liability
limited liability

earning goes directly to the owner
earning goes directly to the owner

unlimited liability
unlimited liability

easy access to credit
easy access to credit

control of decision-making

Answer 1

The correct benefits enjoyed by sole proprietorships are:

1. Earning goes directly to the owner - In a sole proprietorship, the owner receives all the profits directly.

2. Control of decision-making - As the sole owner, the proprietor has complete control over all business decisions.

So, the two correct answers are:

• Earning goes directly to the owner
• Control of decision-making