Chapter 3

Sole proprietorship

Multiple Choice

Sole proprietor means _________

• Single owner

• Partners

Open Ended

Give me an example of a Sole proprietor

Multiple Choice

Easy Formation means?

• Less permissions

• more permissions

Open Ended

What does one man's capital mean?

Multiple Choice

if there is a loss will Sam the Sole proprietor share the loss with any one?

• Yes

• No

Multiple Choice

What if Sam the Sole proprietor makes profit, will he share it with any one?

• Yes

• No

Multiple Choice

Who takes all the decision in a Sole proprietors business?

• The Sole proprietor

• Sole proprietors friends

Multiple Choice

What does the word Liability mean?

• responsible to pay back

• Not responsible to pay back

Multiple Choice

Ms.Steffi is a sole trader, she doesn't have enough money to pay back the bank because her business is not doing well. What should she do?

• sells her personal assets like gold and pay

• don't pay back

Multiple Choice

if the Sole proprietor dies or wishes to end his or her business. What happens to the business?

• Business is shut down

• Business goes on

Multiple Choice

Which of the following is an Advantage of Sole proprietorship?

• Easy to form

• Limited Capital

Multiple Choice

Which of the following is disadvantage of Sole proprietorship?

• Unlimited Liability

• Can keep all the profits