Answer the questions below:

Which one of the following statements correctly applies to a sole proprietorship? The owner of the business has no personal liability. The ownership can easily be transferred to another individual. The owner enjoys limited liability for the firm's debts. The owner owns all the shares of the corporation. E. The owner is personally liable for all activities and debts of the business. 2. True or False. A corporation that has debt is worth less than a corporation that has no debt. A. True. The value of a corporation is always higher if it has no debt. B. False. A corporation is not valued less simply because it has debt. If debt is used properly, it can permit the company to engage in using financial leverage while permitting a financial and tax deduction for the interest expense generated by having debt, thus creating a potentially more valuable company. When is a payment on an ordinary annuity paid? The payment on an ordinary annuity is paid at the end of each payment period. The payment on an ordinary annuity is paid at the beginning of each payment period. The payment on an ordinary annuity is paid every other year. The payment on an ordinary annuity is paid as a balloon payment. None of these answers is correct