Which of the following is an advantage of a sole trader business?

Question

BlackTom AI · Accepted Answer

The question asks to identify an advantage of a sole trader business from the given options. 
Option a: Separate taxation. This is incorrect because a sole trader’s income is taxed as the owner’s personal income; there is no separate business taxation distinct from the owner's tax. 
Option b: Shared decision-making. This is not an advantage; sole traders make all decisions themselves, which means no shared decision-making unless you count external advisors, but the key point is that control is not shared.
Option c: Limited liability. This is false for a sole trader, as the owner has unlimited personal liability for business debts and obligations; the business and owner are not legally separate. 
Option d: Easy to establish and manage. This is correct because sole trader businesses are typically simple to set up with few legal formalities, and management is straightforward since one person makes the decisions and oversees operations. 
In sum, only option d describes a typical practical advantage of a sole trader structure, whereas the other options describe features that do not apply to sole traders or describe disadvantages.

Which of the following is an advantage of a sole trader business?单项选择题

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