Question

Kali owns Dog Trotters, a dog-walking business that she started to earn money after school and supplement her allowance. She planned to keep all the profits, and has kept things simple by putting a flier on the bulletin board at the local grocery store announcing that she was available to provide this service. Kali's business is a?

Answer 1

Answer:

The correct answer is: sole proprietorship.

Explanation:

A sole proprietorship is a type of business with a single owner. The owner is responsible for managing the business and is personally responsible for its debts.

It is not a separate entity and the easiest form of business. An advantage of this type of business is that the owner only has to pay income tax on its profits.

In the given example, Kali is the single owner of her business. She manages the business on her own and keeps all the profits to herself. This business is a type of sole proprietorship.