A sole proprietorship is best defined as a business owned by:
A) A single individual who has limited liability for the firm's debts.
B) A single individual who has unlimited liability for the firm's debts.
C) Individuals who enjoy limited liability.
D) One or more individuals who have agreed to accept unlimited liability for the firm.
E) An individual for less than ten years.

Question

Quizplus · Accepted Answer

A sole proprietorship is a business owned by a single individual who is personally responsible for all the debts and obligations of the business, meaning they have unlimited liability.

A Sole Proprietorship Is Best Defined as a Business Owned