The tax rule that makes income taxable only for the individuals who receive it and not for the business entity that produces it is the grovision. a. Double taxation b. Pass through c. Dividend retention d. Income averaging QUESTION 2 Who has to approve the change in entity form for a sole proprietorship? a, Only the sole proprietor b. A majority of the proprietor's employees C. All of the propelietor's employees d. The proprietor's partners QUESTION 3 Which business form risks "double taxation" on business income? a. Sole progrietor b. General partnership c. Limited partnership d Corporation e. Limited hablity company Which of the following statements about proprietorships is true? a. Proprietorships are taxable entities apart from the owners. b. A business can have up to 35 owners and sta be a proprietorstip ? c. A proprietorship cannot generate more than 510 million in proceeds per tax year, d. The owner of a proprietorship is personally lable for all the debts of the proprietorship. QUESTION 5 A sole proprietor risks When she opens her business a. Only the portion of her assets she allocated to her business b. All her personal assets for tort or contract liabilities c. All ber personal assets for tort liabilities, but only her business assets for contract liabilities d. All her personal assets for contractual liabilities, but only her business assets for tort liabilities QUESTION 6 Which form of business entity is commonly traded among public investors? a. Sole proprietor b. General partnership . Limled partnership d. Corporation e. Limited liability company A fictitious business name statement is required for a. Any business that does not use the real name of its owner b. Any business c. Any business that crosses state boundaries d. Any business that requires professional licenses, like doctors, attorneys, or accountants QUESTION 8 A sole proprietor files a separate income tax return for her business income True False QUESTION 9 Unlike the owners of a general partnership, the owners of a corporation must formally meet at least once per year. True False QUESTION 10 Once a form of business entity has been selected, it can later be changed into another form. True Fatse Once a debtor files a Chapter 7 petition, the debtor cannot request that the case be converted to a Chapter ff or Chapter 13 proceeding. True False QUESTION 12 The bankruptcy of a partner will cause the dissolution of the partnership by operation of law. True False QUESTION 13 Under Chapter 11 bankruptcy, the debtor may file a(n) In an attempt to advance the business from its financial difficulties and heip it to survive. a. Plan of reorganization. b. Contingency plan. c. Notice of default. d. Operating Agreement. QUESTION 14 Creditors are required to file If they are to share in the debtor's estate. a. Proof of their claims. b. Finsncial statement. c. Articles of Dissolution. d. Mechanic's llen