Post Utme Lautech 2020 Commerce Question 36

Practice objective / multiple choice question 36 from the 2020 Post Utme Lautech Commerce examination.

Post Utme Lautech 2020 Commerce Objective / Multiple Choice
Question 36 POST_UTME_LAUTECH • 2020 • 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. What is the primary reason for this vulnerability?

Answer Options

Correct Answer A. Lack of limited liability protection
B. Insufficient business insurance
C. Poor financial management
D. Inadequate tax planning
Correct Answer
A
Correct Option:
Lack of limited liability protection

About This Question

This is Post Utme Lautech 2020 Commerce Question 36. It is one of the objective questions from the 2020 Post Utme Lautech Commerce examination.

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