Which of the following is an advantage of a sole proprietorship?
A) The owner has unlimited liability.
B) The business ceases to exist when the owner dies.
C) There is a limit to the amount one person can borrow.
D) Profits are taxed as individual income.
E) There is one-person control of all aspects of the business.

Question

Quizplus · Accepted Answer

Profits in a sole proprietorship are taxed as individual income, which can be advantageous as it may result in lower tax rates compared to corporate tax rates.

Which of the Following Is an Advantage of a Sole