Carmen owns a small gift shop and is solely responsible for its debts and liabilities. She is also entitled to all the profits the shop makes after paying off taxes and other expenses. Her business is an example of a(n)

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Carmen's business is an example of a sole proprietorship. Sole proprietorships are typically small businesses employing fewer than 50 people. The sole proprietor has unlimited liability in meeting the debts of the business but is also entitled to all the profits after paying taxes and other expenses.

Carmen Owns a Small Gift Shop and Is Solely Responsible