Which of the Following Statements About a Sole Trader Is

Multiple Choice

Which of the following statements about a sole trader is NOT true?

A) Anyone capable of entering into a contract can operate a business as a sole trader.
B) A sole trader may have difficulty in raising business capital.
C) Sole traders have unlimited liability for the debts of the business.
D) The business of a sole trader can sue and be sued in its own name.