Which One of the Following Statements Is Correct with Respect

Multiple Choice

Which one of the following statements is correct with respect to sole proprietorships?

A) A sole proprietorship is a separate legal entity with one shareholder.
B) A sole proprietorship involves limited liability.
C) The sole proprietor is a society under the Societies Act.
D) A sole proprietorship involves unlimited liability for the proprietor.
E) The sole proprietor is restricted to service type businesses.