Question

which of the following statements is true of a sole proprietorship? a] a sole proprietorship has...

which of the following statements is true of a sole proprietorship?

a] a sole proprietorship has to pay business income taxes

b] a sole proprietorship joins two or more individuals as co-owners

c]the sole proprietors is personally liable for the liabilities of the business

d] a sole proprietorship is taxed separately from the owner

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Which statements are true? Check all that apply: All profits from a sole proprietorship are passed...
Which statements are true? Check all that apply: All profits from a sole proprietorship are passed through to the owner for paying taxes. A sole proprietorship offers limited liability. A sole proprietorship is easy to set up. It is impossible to sell a part of your ownership stake in a sole proprietorship. A sole proprietorship is subject to few government regulations.
Which of the following is a disadvantage of operating as a sole proprietorship? 1--Sole proprietorships have...
Which of the following is a disadvantage of operating as a sole proprietorship? 1--Sole proprietorships have complex legal and accounting requeirements. 2--The owner of a sole proprietorship generally carries unlimited liability for the debts and liabilites of the business. 3-- A sole proprietorship has only limited flexiblity in choosing a tax year. 4--A sole proprietorship may consist of one or many individuals.
Calculate the tax disadvantage ( = corporate after-tax income to owners - sole proprietorship after-tax income...
Calculate the tax disadvantage ( = corporate after-tax income to owners - sole proprietorship after-tax income to owners) to organizing a U.S. business as a corporate versus a sole proprietorship under the following conditions: Assume that all earnings will be paid out as cash dividends. Operating Income (operating profit before taxes) will be $116 under both organizational forms. The effective corporate tax rate = Tc = 40%. The average personal tax rate for the owners is 45% and assume that...
1. All of the following are characteristics associated with a sole proprietorship, EXCEPT: a. income and...
1. All of the following are characteristics associated with a sole proprietorship, EXCEPT: a. income and expense items are reported on Schedule C b. the owner cannot report passive losses on real estate investments on Schedule D c.​once calculated, its net income is reported on Form 1040 d.​the owner must pay self-employment taxes to fund both the Social Security and Medicare systems 2.​A sole proprietor is fully liable for the debts and obligations of the business. (True/False). 3.​Each partner in...
Which problem is more likely to affect a partnership than a sole proprietorship? A. The company...
Which problem is more likely to affect a partnership than a sole proprietorship? A. The company will have a difficult time raising funds to get started. B. The company falls apart if one owner dies or chooses to leave. оооо C. One person has total liability if the company loses money. D. Owners have disagreements over how to run the business.
13. Which of the following statements is CORRECT? Group of answer choices One of the disadvantages...
13. Which of the following statements is CORRECT? Group of answer choices One of the disadvantages of incorporating a business is that the owners then become subject to liabilities in the event the firm goes bankrupt. Sole proprietorships are subject to more regulations than corporations. In any type of partnership, every partner has the same rights, privileges, and liability exposure as every other partner. Sole proprietorships and partnerships generally have a tax advantage over many corporations, especially large ones. Corporations...
Which of the following is true? a. the limited liability of stockholders under the corporate business...
Which of the following is true? a. the limited liability of stockholders under the corporate business structure makes it easier to raise equity capital. b. when employees also own a business, their incentive to shirk is removed. c. under the corporate form of business organization, the owners of the firm are personally liable for its debts. d. under the partnership form of business organization, the owners are not personally liable for the debts of the business.
A sole proprietorship had the following assets and liabilities at the beginning and end of this...
A sole proprietorship had the following assets and liabilities at the beginning and end of this year. Assets Liabilities Beginning of the year $ 109,500 $ 46,943 End of the year 163,500 66,218 Owner made no investments in the business, and no withdrawals were made during the year. Owner made no investments in the business, but withdrew $1,100 cash per month for personal use. Owner made no withdrawals during the year, but the owner did invest an additional $45,000 cash....
James Jones is the owner of a small retail business operated as a sole proprietorship. During...
James Jones is the owner of a small retail business operated as a sole proprietorship. During 2015, his business recorded the following items of income and expense: Revenue from inventory sales          $147,000 Cost of goods sold                             $33,500 Business license tax                              2,400 Rent on retail space                            42,000 Supplies                                              15,000 Wages paid to employees                  22,000 Payroll taxes                                       1,700 Utilities                                              3,600 a. Compute taxable income attributable to the sole proprietorship by completing Schedule C to be included in James’s 2015 Form 1040. b. Compute self-employment tax payable on the earnings of...
Huy is single, age 40, and operates a sole proprietorship. In 2020, Huy's sole proprietorship generated...
Huy is single, age 40, and operates a sole proprietorship. In 2020, Huy's sole proprietorship generated income of $200,000, and the deductible business expenses totaled $120,000. Huy also had other gross income of $40,000. Huy takes the standard deduction. What is Huy's 2020 taxable income? Which of the following is most accurate? Group of answer choices The QBI deduction is a tax credit, and Huy does not qualify because it only applies to C corporations The QBI deduction is taken...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT