Post Utme Mountain Top University 2017 Commerce Question 16

Practice objective / multiple choice question 16 from the 2017 Post Utme Mountain Top University Commerce examination.

Post Utme Mountain Top University 2017 Commerce Objective / Multiple Choice
Question 16 POST_UTME_MOUNTAIN_TOP_UNIVERSITY • 2017 • COMMERCE • objective

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

Answer Options

Correct Answer A. To limit the owner's personal liability
B. To simplify tax compliance
C. To increase the business's creditworthiness
D. To reduce the owner's control over the business
Correct Answer
A
Correct Option:
To limit the owner's personal liability

About This Question

This is Post Utme Mountain Top University 2017 Commerce Question 16. It is one of the objective questions from the 2017 Post Utme Mountain Top University Commerce examination.

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