Ask Question
BusinessBusiness
7 January, 14:00

Olav owns precision painting, a sole proprietorship. olav's liability is

+2
Answers (1)
  1. 7 January, 16:35
    0
    The answer is D.

    Explanation:

    A sole proprietorship is a one man business (it is owned and run by one man). Sole proprietorship is not a distinct business entity i. e there is no legal distinction between the owner and the business entity.

    Because the business is not separated from its owner, he or she can be liable for the debt of the business. The sole proprietorship can be sued directly for any bad debt the business incurs. This is what unlimited liability means and it is the main disadvantage of of sole proprietorship.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Olav owns precision painting, a sole proprietorship. olav's liability is ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Under a perpetual inventory system, the journal entry to record the purchase of inventory on account will include a:
Answers (1)
Nombre Company management predicts $430,000 of variable costs, $970,000 of fixed costs, and a pretax income of $275,500 in the next period. Management also predicts that the contribution margin per unit will be $53.
Answers (2)
An investor is short 3 ABC July 50 call options and 3 ABC July 45 put options. Currently, ABC stock is selling for $47.50 and the investor has a small profit.
Answers (1)
A company borrows $10,000 and signs a 90-day nontrade note payable. In preparing a statement of cash flows (indirect method), this event would be reflected as a (n) addition adjustment to net income in the cash flows from operating activities
Answers (1)
Happy Foods and General Grains both produce similar puffed rice breakfast cereals. For both companies, the cost of producing a box of cereal is 45 cents, and it is not possible for either company to lower their production costs any further.
Answers (1)
New Questions in Business
One widespread trend under way in business today that will affect the goals of the organization you work for is: Select one: a. social intelligence b. new media adaptations c. an increased focus on ethical and socially responsible behavior d.
Answers (1)
A high-profile consulting company chooses its new entry-level employees from a pool of recent college graduates using a five-step interview process.
Answers (1)
Suppose the nominal annual interest rate on a two year loan is 8 percent and lenders expect inflation to be 5 percent in each of the two years. the annual real rate of interest is
Answers (1)
The producer of a downloadable antivirus software program spends exactly $2,650,000 producing the first copy and incurring various costs required to make the software "user-friendly.
Answers (1)
Which of the following items could be painted in a dark color to be on trend in 2020?
Answers (2)
Home » Business » Olav owns precision painting, a sole proprietorship. olav's liability is
Sign Up Forgot Password?