Kyle legally organizes his weekend window cleaning business as a sole proprietorship.Which statement best describes Kyle and his business?
A) Kyle reports income from the business on his individual federal income tax return.
B) Kyle pays one tax rate on all taxable income.
C) Kyle declares dividends in order to receive cash from the business.
D) Kyle reports only income but not losses since he is the only owner in the company.
Correct Answer:
Verified
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