Post Utme Afe Babalola University 2020 Commerce Question 26

Practice objective / multiple choice question 26 from the 2020 Post Utme Afe Babalola University Commerce examination.

Post Utme Afe Babalola University 2020 Commerce Objective / Multiple Choice
Question 26 POST_UTME_AFE_BABALOLA_UNIVERSITY • 2020 • COMMERCE • objective

A sole trader's business is considered a separate legal entity from its owner. What is the primary reason for this separation?

Answer Options

A. To protect the owner's personal assets from business liabilities
B. To allow the business to operate independently of the owner's personal life
Correct Answer C. To enable the business to enter into contracts and agreements in its own name
D. To facilitate the transfer of ownership of the business to another person
Correct Answer
C
Correct Option:
To enable the business to enter into contracts and agreements in its own name

About This Question

This is Post Utme Afe Babalola University 2020 Commerce Question 26. It is one of the objective questions from the 2020 Post Utme Afe Babalola University Commerce examination.

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