Post Utme Igbinedion University 2019 Commerce Question 6

Practice objective / multiple choice question 6 from the 2019 Post Utme Igbinedion University Commerce examination.

Post Utme Igbinedion University 2019 Commerce Objective / Multiple Choice
Question 6 POST_UTME_IGBINEDION_UNIVERSITY • 2019 • COMMERCE • objective

A sole trader's business is considered a separate legal entity from the owner's personal assets. Which of the following is a correct statement regarding the liability of a sole trader?

Answer Options

A. The sole trader's personal assets are not at risk in case of business debts.
Correct Answer B. The sole trader's personal assets are at risk in case of business debts.
C. The sole trader's business is not liable for personal debts.
D. The sole trader's business is not liable for personal assets.
Correct Answer
B
Correct Option:
The sole trader's personal assets are at risk in case of business debts.

About This Question

This is Post Utme Igbinedion University 2019 Commerce Question 6. It is one of the objective questions from the 2019 Post Utme Igbinedion University Commerce examination.

View More Post Utme Igbinedion University 2019 Commerce Questions More Post Utme Igbinedion University Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support