Create an account
Limited resources, unlimited liability, limited expertise, limited life and obligation to follow the laws of both federal government and state and city government in which a business is formed.
List 5 disadvantages to a Sole Proprietorship.
Ease of formation, total control by the owner, profits are not shared.
List 3 advantages to a sole proprietorship.
True or False: unlimited liability means the owner is totally responsible for the liabilities of a business. Personal assets such as a car could be claimed to cover the business's liabilities.
d. all of the above
Which of the following is an example of a service business: a. Hair Salon, b. Auto Repair Shop, c. Daycare, d. all of the above
True or False: In the accounting equation, if one account is increased, another account on the same side of the equation must be decreased.
True or False: When changes are made on only one side of the accounting equation, the equation is no longer in balance.
When cash is received from sales, the owner's equity: A. Decreases B. Increases C. Remains the same.
When services are sold on account, the owner's equity: A. Decreases B. Increases C. Remains the Same
Please allow access to your computer’s microphone to use Voice Recording.
Having trouble? Click here for help.
We can’t access your microphone!
Click the icon above to update your browser permissions and try again
Reload the page to try again!Reload
Press Cmd-0 to reset your zoom
Press Ctrl-0 to reset your zoom
It looks like your browser might be zoomed in or out. Your browser needs to be zoomed to a normal size to record audio.
Please upgrade Flash or install Chrome
to use Voice Recording.
For more help, see our troubleshooting page.
Your microphone is muted
For help fixing this issue, see this FAQ.
Star this term
You can study starred terms together