Answer:
a. D
b. D
c. A
Explanation:
a. It is a sole proprietorship ownership
Under this kind of ownership, the owner is the one who collects or receives all the profits and bear or sustains all the losses. Here, in this type of ownership, the owner has unlimited liability, which means that the owner could use the his or her assets to pay off the debts.
Therefore, the owner is responsible for all the unpaid debts which in turn aggregate wealth can be taken to satisfy the debts.
b. If the company is 50 - 50 partnership
In partnership, all the partners have the unlimited liability and each and every partner is liable legally for the unpaid debts.
In this case, 2 partners are equally liable for the debt. So, each partner is legally liable for $30,000 of the unpaid debts.
c. In Corporations
The owners have a limited liability, which guarantee that they could not lose more than they have invested.
In this case, invested amount is computed as a percentage(%) of the aggregate investment. So, the aggregate amount is not given, therefore, the person could not lose more than what has invested which is $25,000.
