Darren plans to start up an on-site computer repair company called Common Sense Computer Service. Initially, he
Question:
Darren plans to start up an on-site computer repair company called Common Sense Computer Service. Initially, he plans to do all of the work himself, but eventually he plans to have several employees and possibly even franchise the business someday. His business advisor suggests that he operate his business as a sole proprietorship. If Darren follows this advice, what statement is FALSE?
a) Darren's clients can hold Darren personally responsible if he damages their computer systems through his ineptitude.
b) Darren does not have to undergo any formal registration process because he will be operating as a sole proprietor.
c) If Darren employs an assistant, he can deduct those wages from his business income.
d) Darren cannot pay himself a salary.