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Question

1 of 11 of 1 Items
Question 1
Which of the following are benefits enjoyed by sole proprietorships? Select the two correct answers.(1 point)
Responses

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

easy access to credit
easy access to credit

control of decision-making
control of decision-making

unlimited liability
unlimited liability
Question 2
Which of the following statements is true about sole proprietorships?(1 point)
Responses

A sole proprietorship is the simplest form of business organization.
A sole proprietorship is the simplest form of business organization.

The owner of the sole proprietorship must report to shareholders.
The owner of the sole proprietorship must report to shareholders.

A sole proprietorship can continue if the owner dies.
A sole proprietorship can continue if the owner dies.

The owner of the sole proprietorship has limited liability.

Answer 1

Question 1: Which of the following are benefits enjoyed by sole proprietorships? Select the two correct answers.

• Earning goes directly to the owner (Correct)
• Easy access to credit (Incorrect)
• Control of decision-making (Correct)
• Unlimited liability (Incorrect)

Correct Answers:

1. Earning goes directly to the owner
2. Control of decision-making

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Question 2: Which of the following statements is true about sole proprietorships?

• A sole proprietorship is the simplest form of business organization. (Correct)
• The owner of the sole proprietorship must report to shareholders. (Incorrect)
• A sole proprietorship can continue if the owner dies. (Incorrect)
• The owner of the sole proprietorship has limited liability. (Incorrect)

Correct Answer:

• A sole proprietorship is the simplest form of business organization.