Post Utme Babcock University 2025 Commerce Question 21

Practice objective / multiple choice question 21 from the 2025 Post Utme Babcock University Commerce examination.

Post Utme Babcock University 2025 Commerce Objective / Multiple Choice
Question 21 POST_UTME_BABCOCK_UNIVERSITY • 2025 • COMMERCE • objective

A sole trader's business is considered a separate legal entity from its owner. However, in the event of a lawsuit, the owner's personal assets may be at risk. Which of the following best describes the legal status of a sole trader?

Answer Options

A. A sole trader is considered a separate legal entity from its owner.
Correct Answer B. A sole trader's business is not considered a separate legal entity from its owner.
C. A sole trader's personal assets are not at risk in the event of a lawsuit.
D. A sole trader's business is considered a partnership.
Correct Answer
B
Correct Option:
A sole trader's business is not considered a separate legal entity from its owner.

About This Question

This is Post Utme Babcock University 2025 Commerce Question 21. It is one of the objective questions from the 2025 Post Utme Babcock University Commerce examination.

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