A key advantage of a sole proprietorship is that:
A) it is easy and inexpensive to form this type of business.
B) the owner has limited liability for the debts incurred.
C) it is very easy to raise financial capital for this type of business.
D) the business has perpetual life.

Question

Quizplus · Accepted Answer

Sole proprietorship is the easiest and cheapest business structure to create. It requires minimum legal formalities, does not involve extensive paperwork and legal fees, and has fewer regulations as compared to other business structures.

A Key Advantage of a Sole Proprietorship Is That