Among the disadvantages of the one-man business is the fact that______
ECONOMICS
JAMB 2019
Among the disadvantages of the one-man business is the fact that______
- A. its capital may not be increased without government permission
- B. the proprietor is personally liable for the firm's debts
- C. the proprietor is not able to obtain credit
- D. the proprietor may not sue for bad debts
Correct Answer: B. the proprietor is personally liable for the firm's debts
Explanation
A one man business also sole proprietorship is run by an individual. The debts of the proprietor can affect the firm.
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