Question

Ramses owns a roofing business. He enjoys being his own boss, but it comes at a price. Often, his days are filled with organizing the activities of the employees and seeking out new customers. He often misses events with friends and family because of the obligations of running his own business. He also knows that he has unlimited personal liability for any of his firm's debts. Ramses's business is organized as a(n):a. Joint ventureb. C corporationc. S corporationd. Sole proprietorship

Answer 1

Answer:

The correct answer is option d.

Explanation:

Ramses's business is organized as a sole proprietorship. A sole proprietorship is a form of business in which there is a single owner who manages and runs the business. The owner has unlimited liability for the firm's debts. There is no distinction between owner and business entity.

The advantage of a sole proprietorship is that the owner does not have to share profits. The owner pays personal income tax on profits earned.